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Whether to attack a terrorist's resource stock today or tomorrow

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Author Info
Hausken, Kjell

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Abstract

A terrorist defends an asset which grows from the first to the second period and is attacked. With large asset growth, the terrorist's first period outcome is low caused by a large attack. With no expenditure constraint, the terrorist's total outcome is positive. With equal attack and defense inefficiencies, when the terrorist as defender requires his first period outcome to be positive, the attacker eliminates the asset in the first period when asset growth multiplied with the square roots of the terrorist's and attacker's discount parameters exceed . This gives maximum conflict in the first period. Growth and the two discount parameters are strategic complements. The range for the attack inefficiency divided by defense inefficiency, which causes negative first period outcome for the terrorist, increases with asset growth. The attacker refrains from asset elimination in the first period due to strength (weakness) if the ratio is below (above) the range.

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File URL: http://www.sciencedirect.com/science/article/B6WFW-4RX0740-2/2/5efa510cdadb4be4ae94870e4d57be3e
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Publisher Info
Article provided by Elsevier in its journal Games and Economic Behavior.

Volume (Year): 64 (2008)
Issue (Month): 2 (November)
Pages: 548-564
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Handle: RePEc:eee:gamebe:v:64:y:2008:i:2:p:548-564

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Web page: http://www.elsevier.com/locate/inca/622836

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Related research
Keywords: Terrorism Terror capacity Threat Conflict Two periods Dynamics Growth Discounting Defense inefficiency Attack inefficiency Contest success function Time substitution;

Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Amegashie, A. & Runkel, M., 2008. "The Paradoxes of Revenge in Conflicts," Working Papers 2008-5, University of Guelph, Department of Economics. [Downloadable!]
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