CARIBBEAN STATES ECONOMICS
(a)Examine how a weak economy’s twin problems and a high level of import dependence could impact your country’s food security.
The twin problems of a weak economy are usually characterized by both fiscal deficit and current account deficit. Here the fiscal deficit is usually due to budget shortfall. In contrast, a current account deficit is mainly due to the expenditure of more money overseas for goods and services compared to the amount the country is receiving. The twin deficits have a significant impact on the country’s food security. In that, a weak growth caused by twins’ problems in an economy would have an insidious effect on the country’s food prospects and options (Mcwhinney, 2020). In that regard, the state may end up using all of its resources that are meant to ensure food security to offset the deficits and balances in the economy. This could result in a high level of dependence where a country uses all of its resources for current consumption. Therefore, with a twin problem in a weak economy, it may lead to a high import dependence, impacting the country’s food security. In the long run, the country’s production capacity may never increase due to increased imports. Consequently, the standard of living in every household will remain constant, and as such, the economy will continue to deteriorate as the standard of living declines.
Due to such issues in the economy, it prompts the need to develop mitigating measures against food insecurity to save for the economy’s future progress. To do so, the government should consider necessary mitigating measures against food insecurity. Some of the probable measures include:
- Protecting the chain of food supply
Adequate measures should be put in place to ensure that there is continuous food supply in the country. Here, much of the country’s budget should be set aside for food security in the country.
- Fiscal and monetary incentives
To do so, the government should set up incentives such as putting up a waiver on VAT, exercise duties, and other taxes imposed on the food business. This will enable the food supply chain to continue and function appropriately without interruption in the economy.
- Establishing food reserves
The government should develop food reserves and ensure that they are used wisely. It is also essential that they monitor the prices and release food from these reserves if the prices spike. They should also distribute the food to those needs, thereby maintaining food security in the country.
(b) Discuss the possible implications of conflict and war involving several major oil-producing nations on the Caribbean states’ economics. Propose three mitigation measures to counter the potential impacts on national security.
The abundance of oil in the Caribbean states has become a war of resources to oil-rich countries found within that region. According to Di John (2007), several oil-producing nations on the Caribbean states are more prone to political violence, attributed to the oil-civil war link. Such threats are usually a result of the competition of resources in which countries fight for oil reserves possession. In that regard, the oil-producing countries’ political conflicts make oil a significant source of conflict in the Caribbean states.
Moreover, the Caribbean states’ conflicts have been contributed by petro-aggression in which leaders are insulated from domestic opposition. As a result, they engage in risky foreign policy adventurism. Another possible source of conflict and war is the financing of terrorist organizations. There is also conflict triggered by the prospect of domination of the oil market industry, which puts oil-producing countries in a tug of war. Similarly, there have been clashes involving routes of transit for oil. Such routes include the shipping lanes and the pipelines. Thus has led to oil-related grievances and obstacles which affect multilateral cooperations involved in importing oil. Therefore, such issues contribute to conflict in oil-producing countries, which affects their economies.
In that regard, the linkages between oil and international conflict have tremendously increased in light of the global energy markets’ transition. This has caused a shift in the patterns of global oil production, thereby creating international security concerns. According to Di John (2007), there will be higher and more volatile prices leading to an increase in the magnitude of the consequences of oil-conflict linkages. Hence such transitions alter how the oil industry contributes to international conflict.
Possible mitigation measures to counter the potential impacts on national security.
It is essential to understand the possible impacts of oil conflicts on international security. This will enable policymakers to think beyond securing the country’s energy reserves. In that regard, to achieve such an understanding, it will be essential to explore the recent changes in the oil industry and its significant impact on national security. Some of the possible measures will include:
- Fracking
This will help in reducing oil-related threats to international security. It will also ensure that the Caribbean states achieve oil independence in which there will be low or zero net overall energy imports.
- Self-sufficiency
This can be achieved when the oil-producing states make a long-term investment that contributes to international security. These include research and development, aiming to reduce oil consumption and provide alternative fuel sources for the transport sector.
- Monitoring unexpected sources of conflict
This will involve exploring the oil-security linkages, which will help identify the arising threats on the global oil market. An area of concern will be the security threats that arise from unexpected sources that prompt hostile responses from oil rivals.
(C) Some potential threats posed by terrorist groups to Caribbean states and examine the feasibility if regional cooperation in combatting terrorist threats.
The Caribbean states are sensitive to political threats and other threats such as drug trafficking and terrorism. Such risks stem from political, ideological, or religious convictions. Additionally, terrorist threats also emanate from the perceived oppression or economic deprivation, which pushes one to engage in terrorist activities. In that regard, thwarting terrorist threats and violent extremism within the Caribbean region has become a complex challenge against the backdrop of increasingly potential security threats. This has often been accelerated with technology as well as a lack of international cooperation within the region.
Nevertheless, with increased terrorist threats, it has led to several counter-terrorists measures within the Caribbean region. This has seen several counter-terrorism agencies working together. These include security agencies such as the Southcom, the FBI, the DEA, the Department of Homeland Security, and the Coast Guard. The combined efforts of these security agencies have helped in forestalling future acts of terrorism. The Caribbean states are also united by the cooperation of regional organizations such as the Organization of the American States as well as the Treaty of Tlatelolco, which cuts across the North-South side divide. There are also other smaller regional groups such as the Central American Integration System and the Caribbean community. Such organizations have rallied the Caribbean nations to adopt resolutions and pass legislation on Anti-terrorism (Phillips, 2008).
Initially, the Caribbean region was not allocated a considerable portion of the budget for security concerns. With external assistance, especially from the U.S., it helped strengthen the operational capacity of the region (Rosand, Millar & Ipe, 2008). This new boost in security measures led to heightened security measures at the borders, which has become more comprehensive and robust. It has also contributed to the sharing of information among security agencies.
(d) Explain the concept of good governance to your country’s national security.
Good governance is a term that came into existence in the 1990s when the world bank, while leading the charge as a donor aid for countries, used good governance as a conditioning aid for countries with a reformed system of government. It was, therefore, a concept that encouraged real policy changes. As such, good governance allows the government to develop the ability to maintain control over a state (Musarrat, Afzal & Azhar, 2013). It is an obligation by a state to secure and participate in the decision-making to ensure its national security strength. Some of the aspects of good governance include political stability, the rule of law, control of corruption, and accountability (Nanda, 2006). Thus, through good governance, it allows transparency in the traditional business environment and enables a country’s citizens to hold their governments accountable.
Besides, governance has been linked to the development of a country’s national security. According to Musarrat, Afzal & Azhar (2013), if a country’s security is to go by good governance, it will guarantee, secure, and protect the physical and social well-being. That being said, one of the critical priorities of Caribbean states such as Jamaica, is promoting good governance and combating threats to the country’s national security. However, with the high levels of poverty in the country, it has made it quite challenging to implement the concept of governance. That is, the high poverty rates have weakened the concept of governance in such countries, making it a challenge to strengthen the country’s national security. As such, since national security is of vital interest in the country, it calls for the need to embrace sound governance systems.
References
Di, John, J. (2007). Oil abundance and violent political conflict: A critical assessment. The Journal of Development Studies, 43(6), 961-986.
https://www.investopedia.com/contributors/103/
Mcwhinney, J. (2020). The Twin Deficits of the U.S. Retrieved from https://www.investopedia.com/articles/economics/10/twin-deficits.asp
Musarrat, P., Afzal, R., & Azhar, M. (2013). National Security and Good Governance: Dynamics and Challenges. Journal of Public Administration And Governance, 3(1), 177-180. Retrieved from https://www.academia.edu/10855941/National_Security_and_Good_Governance_Dynamics_and_Challenges
Nanda, V. P. (2006). The “good governance” concept revisited. The ANNALS of the American academy of political and social science, 603(1), 269-283.
Phillips, D. E. (2008). Terrorism and security in the Caribbean before and after 9/11. Conflict Management, Peace Economics, and Development, 7(2), 97-138.
Rosand, E., Millar, A., & Ipe, J. (2008). Implementing the U.N. Global Counter-Terrorism Strategy in the Latin America and Caribbean Region. Center on Global Counterterrorism Cooperation.