WBE: Motivation

Flashcards about War, Economics, and Business in a Globalized World

According to the lecture, which geographical region in the world is the most peaceful?

Europe constitutes the most peaceful geographical region in the world.

Name one indicator used to compare the Global Peace Index Map

Conflict number, conflict related deaths, criminality percepetion, refugees, terrorism incidents

Are conflicts always violent?

Conflicts are not always violent, they can be economic as well.

What is one possible conflict angle mentioned in the lecture?

The disagreement over routing of natural gas pipelines from the world’s biggest conventional hydrocarbon (natural gas) reservoir, The South Pars / North Dome Field in the Persian Gulf.

Give the timeline of pipeline proposals and events in Syria according to the lecture

2009: Qatar’s pipeline proposal: Qatar-Syria-Turkey-Pipeline. 2010: Bashar al Assad’s refusal to sign the plan. March 2011: beginning of Arab Spring demonstrations in Syria. 2011: Assad agrees to Iranian pipeline proposal (Iran-Iraq- Syria-Pipeline).

How much is 51 trillion cubic meters of gas worth?

Approximately $9 trillion

According to the lecture, why is Russia backing Assad?

Russia fears losing its market position in Europe

According to the lecture, why is Turkey against Assad?

Turkey believes that the Qatari pipeline would help it diversify its own gassupplies away from Russian energy and further its ambitions to be a gas transit hub between Asia and Europe.

According to the lecture, why are the Americans against Assad?

America is applying economic pressure on Iran (embargo) to prevent the development of nuclear weapons. The Iran-Iraq-Syria-Pipeline would undermine this efforts. Additionally Qatar and the US are long-term allies.

According to the lecture, why are the Europeans against Assad?

For reasons of energy security Europe needs to find alternative (Russia-independent) suppliers.

What is the bottom line regarding a political settlement of the Syria crisis?

Any political settlement of the Syria crisis must also reconcile competing gas interests.

What are the three basic assumptions of this course?

Conflict is a choice and economics is defined as the study of choices that people make under conditions of scarcity. Conflict Economic outcomes. War affects business and businesses contribute resp. prevent war.

What indicators does the World Bank use to show the correlation between armed conflict and less development?

World Bank Indicators: GDP per capita, PPP (current international USD)

What tops the list of potential threats to global growth?

Geopolitical instability tops the list of potential threats to global growth.

What is the third assumption for business impact?

War making affects business AND businesses contribute resp. prevent conflict.