The Effects of Terrorism on Economic Performance: The Case of Islamic State in Iraq and Syria (ISIS)

Abstract

This research work examines the effects of terrorism on economic performance of the Islamic State in Iraq & Syria (ISIS) by using the application of Economics of Crime Monitoring Model (ECM-Model) of Ruiz Estrada & Ndoma (2014). The application of this model for ISIS has five phases (a) The total terrorism frequency rate (β) (b) The national terrorism vulnerability rate (µT) (c) The terrorism devastation magnitude rate (λ) (d) The economic desgrowth rate (δ) (e) The terrorism vulnerability surface (VV-surface). This study analyses that how terrorism badly affects the economic performance of Iraq and Syria.

Keywords: Terrorism, Economic Desgrowth, ISIS, Iraq, Syria

JEL Classification: R11, R12