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Immigration policy and counterterrorism

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  • Bandyopadhyay, Subhayu
  • Sandler, Todd

Abstract

In a developing country, terrorists recruit and allocate their capital, skilled labor, and unskilled labor between domestic and foreign targets. Domestic targets require less skilled labor than foreign targets. Under various strategic scenarios, we show how countermeasures against the different terrorist inputs alter the amount and mix of targets, as well as how skilled and unskilled immigration quotas by a targeted foreign country affect this mix of attacks. We find that increases in skilled labor quotas generally reduce terrorist attacks in the foreign country, especially when the terrorists reside in a skill-scarce country. A number of different strategic scenarios, including leader–follower, are investigated.

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Bibliographic Info

Article provided by Elsevier in its journal Journal of Public Economics.

Volume (Year): 110 (2014)
Issue (Month): C ()
Pages: 112-123

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Handle: RePEc:eee:pubeco:v:110:y:2014:i:c:p:112-123

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Web page: http://www.elsevier.com/locate/inca/505578

Related research

Keywords: Transnational terrorism; Immigration; International externalities; Counterterrorism policy; Developing country;

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  1. Alberto Abadie, 2006. "Poverty, Political Freedom, and the Roots of Terrorism," American Economic Review, American Economic Association, vol. 96(2), pages 50-56, May.
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  3. Abadie, Alberto & Gardeazabal, Javier, 2005. "Terrorism and the World Economy," DFAEII Working Papers 2005-19, University of the Basque Country - Department of Foundations of Economic Analysis II.
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  5. Subhayu Bandyopadhyay & Todd Sandler & Javed Younas, 2011. "Foreign direct investment, aid, and terrorism: an analysis of developing countries," Working Papers 2011-004, Federal Reserve Bank of St. Louis.
  6. Subhayu Bandyopadhyay & Todd Sandler, 2009. "The interplay between preemptive and defensive counterterrorism measures: a two-stage game," Working Papers 2008-034, Federal Reserve Bank of St. Louis.
  7. Robert J. Barro & Jong-Wha Lee, 2000. "International Data on Educational Attainment Updates and Implications," NBER Working Papers 7911, National Bureau of Economic Research, Inc.
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  9. Landes, William M, 1978. "An Economic Study of U.S. Aircraft Hijacking, 1961-1976," Journal of Law and Economics, University of Chicago Press, vol. 21(1), pages 1-31, April.
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  12. Lapan, Harvey E & Sandler, Todd, 1988. "To Bargain or Not to Bargain: That Is the Question," American Economic Review, American Economic Association, vol. 78(2), pages 16-21, May.
  13. Subhayu Bandyopadhyay & Todd Sandler & Javed Younas, 2011. "Foreign aid as counterterrorism policy," Oxford Economic Papers, Oxford University Press, vol. 63(3), pages 423-447, July.
  14. Enders,Walter & Sandler,Todd, 2012. "The Political Economy of Terrorism," Cambridge Books, Cambridge University Press, number 9781107004566, April.
  15. Fischer, Justina, 2011. "Immigration, integration and terrorism: is there a clash of cultures?," Annual Conference 2011 (Frankfurt, Main): The Order of the World Economy - Lessons from the Crisis 48704, Verein für Socialpolitik / German Economic Association.
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  17. Nauro F. Campos & Martin Gassebner, 2013. "International Terrorism, Domestic Political Instability, and the Escalation Effect," Economics and Politics, Wiley Blackwell, vol. 25(1), pages 27-47, 03.
  18. Efraim Benmelech & Claude Berrebi, 2007. "Human Capital and the Productivity of Suicide Bombers," Journal of Economic Perspectives, American Economic Association, vol. 21(3), pages 223-238, Summer.
  19. Alberto Abadie & Javier Gardeazabal, 2003. "The Economic Costs of Conflict: A Case Study of the Basque Country," American Economic Review, American Economic Association, vol. 93(1), pages 113-132, March.
  20. Khusrav Gaibulloev & Todd Sandier, 2011. "The Adverse Effect of Transnational and Domestic Terrorism on Growth in Africa," Journal of Peace Research, Peace Research Institute Oslo, vol. 48(3), pages 355-371, May.
  21. Navin A Bapat, 2011. "Transnational Terrorism, US Military Aid, and the Incentive to Misrepresent," Journal of Peace Research, Peace Research Institute Oslo, vol. 48(3), pages 303-318, May.
  22. Enders, Walter & Sandler, Todd, 1996. "Terrorism and Foreign Direct Investment in Spain and Greece," Kyklos, Wiley Blackwell, vol. 49(3), pages 331-52.
  23. Mirza, Daniel & Verdier, Thierry, 2008. "International trade, security and transnational terrorism: Theory and a survey of empirics," Journal of Comparative Economics, Elsevier, vol. 36(2), pages 179-194, June.
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