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The Investment Problem in Terrorism

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  • Kai A. Konrad

Abstract

Evidence from early terrorist groups reveals a structural equivalence between extortion and terrorism. This allows us to draw conclusions from the theory of extortion that can be applied to a theory of terrorism concerning the role of repeated play in the viability of extortion. It also enables us to analyse the role of commitment in destroying the extortionary organization. Copyright (c) The London School of Economics and Political Science 2004.

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Bibliographic Info

Article provided by London School of Economics and Political Science in its journal Economica.

Volume (Year): 71 (2004)
Issue (Month): 283 (08)
Pages: 449-459

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Handle: RePEc:bla:econom:v:71:y:2004:i:283:p:449-459

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Cited by:
  1. Hendel, Ulrich, 2012. ""Look like the innocent flower, but be the serpent under't": Mimicking behaviour of growth-oriented terrorist organizations," Discussion Papers in Economics 13998, University of Munich, Department of Economics.
  2. Karen Pittel & Dirk Rubbelke, 2006. "What Directs a Terrorist?," Defence and Peace Economics, Taylor & Francis Journals, vol. 17(4), pages 311-328.
  3. Francesco Parisi & Jonathan Klick & Nuno Garoupa, 2006. "A Law and Economics Perspective on Terrorism," Working Papers 2006-09, FEDEA.

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