This blog offers no opinion on the Israeli-Palestinian conflict – to make any informed comment on such a complex problem is well beyond our sphere of competence.

Yet history is made up of details, most of which end up as no more than footnotes in books, and one of those details says something about human enterprise, a subject on which we feel we can comment with a little authority.

The Israelis have blockaded the Palestinian enclave of Gaza, which is ruled by Hamas, an organisation implicated in attacks on Israel.

As usual in such circumstances, the actions of governments provide an opportunity for enterprising individuals, so it is no surprise that smuggling is a growth industry.

Human ingenuity being what it is, many entrepreneurs have dug tunnels to smuggle in much needed trade goods. Such tunnels have become a major investment opportunity in their own right, but, because their legal status is dubious, to put it mildly, there is no real protection for investors and some have been defrauded. Money has also been stolen from workers.

This story shows the unstoppable power of enterprise. Where governments try to block it, enterprise will always find a way round – or, in this case, under – the obstacles. Indeed, the obstacles themselves may become opportunities. Wherever there is demand, there will be clever and active people inventing new ways to supply.

Yet, at the same time, this story also illustrates the need for the rule of law and the enforcement of contracts.

Where people are not allowed to do business legally, they will do business illegally.

Governments all around the world, who are burdening their own countries’ businesses with more and more taxation and regulation, should pay attention. Is Gaza their economic model? If we are not careful we will end up with a global tunnel economy, with smuggling as the norm, and no protection against fraud. Although some entrepreneurs might do well in such a free-for-all, most of us would rather live in an honest world where we can do business openly.