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The Rise of Capitalism and the Roots of Anti-American Terrorism

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  • Tim Krieger
  • Daniel Meierrieks

Abstract

This contribution examines the role of capitalism in anti-American terrorism. Using data for 149 countries between 1970 and 2007, this contribution, contrary to expectations from capitalist peace theory, does not find that Anti-American terrorism increases with external economic liberalization or decreases with higher levels of economic openness. However, consistent with economic norms theory, higher levels of market-capitalism are associated with less anti-American terrorism, whereas the process of marketization fuels it. This suggests that interest groups that have benefitted from the pre-market order deliberately target the USA, where anti-American terrorism serves the purpose of limiting the perceived marketization and Americanization of their communities.

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Paper provided by CESifo Group Munich in its series CESifo Working Paper Series with number 4887.

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Date of creation: 2014
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Handle: RePEc:ces:ceswps:_4887

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Related research

Keywords: terrorism; anti-Americanism; capitalism; market economy; globalization;

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  1. Dreher, Axel & Gassebner, Martin & Siemers, Lars-H. R., 2010. "Globalization, economic freedom and human rights," Center for European, Governance and Economic Development Research Discussion Papers 115, University of Goettingen, Department of Economics.
  2. José Cheibub & Jennifer Gandhi & James Vreeland, 2010. "Democracy and dictatorship revisited," Public Choice, Springer, vol. 143(1), pages 67-101, April.
  3. Richard Kirk, 1983. "Political terrorism and the size of government: A positive institutional analysis of violent political activity," Public Choice, Springer, vol. 40(1), pages 41-52, January.
  4. Michael Mousseau, 2011. "Urban poverty and support for Islamist terror: Survey results of Muslims in fourteen countries," Journal of Peace Research, Peace Research Institute Oslo, Peace Research Institute Oslo, vol. 48(1), pages 35-47, January.
  5. Thierry Mayer & Soledad Zignago, 2011. "Notes on CEPII’s distances measures: The GeoDist database," Working Papers 2011-25, CEPII research center.
  6. Tim Krieger & Daniel Meierrieks, 2008. "What causes terrorism?," Working Papers CIE 12, University of Paderborn, CIE Center for International Economics.
  7. Axel Dreher, 2005. "Does Globalization Affect Growth? Evidence from a new Index of Globalization," TWI Research Paper Series 6, Thurgauer Wirtschaftsinstitut, Universität Konstanz.
  8. David Sobek & Alex Braithwaite, 2005. "Victim of Success: American Dominance and Terrorism," Conflict Management and Peace Science, Peace Science Society (International), Peace Science Society (International), vol. 22(2), pages 135-148, April.
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