Low per capita income is linked to economic instability and state insecurity in postconflict societies. While domestic state capacity is the long-term goal, low-income societies emerging from conflict do not have the luxury to wait. Thus, given the current limitations of state performance, the immediate security solutions for low per capita income countries need to focus on host-government reform policies and alternatives for delivering basic services, rather than long-term state capacity-building. Even with low government capacity, certain economic policies can be put in place to improve per capita income and stimulate employment creation and other public goods. Establishing incentives for practical local economic reform policies, creating an environment that supports private economic investment, and enhancing the delivery of basic social services by the host government contribute to security and stability as they also ultimately contribute to building state capacity. |