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Highlighting the Major Trade-Offs Concerning Anti-Terrorism Policies

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  • Olaf J. de Groot
  • Cathérine Müller

Abstract

Human-induced security, or terrorism, is a threat to wellbeing in Europe and beyond. In this Policy Briefing, we investigate the risks involved in terrorism, both with respect to the likelihood and with respect to the consequences of acts of terrorism. Furthermore, we provide a basic analysis of existing anti-terrorism policies, the costs involved in them and their effectiveness. We show that terrorism is a very broad term, but that one can make a number of broad policy recommendations, including the fact that the rational economic approach to terrorism recognizes that terrorists respond to the incentives they are provided with.

Suggested Citation

  • Olaf J. de Groot & Cathérine Müller, 2011. "Highlighting the Major Trade-Offs Concerning Anti-Terrorism Policies," EUSECON Policy Briefing 3, DIW Berlin, German Institute for Economic Research.
  • Handle: RePEc:diw:diwepb:diwepb3
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    File URL: http://www.diw.de/documents/publikationen/73/diw_01.c.386676.de/diw_eusecon_pb0003.pdf
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    References listed on IDEAS

    as
    1. Konstantinos Drakos & Nicholas Giannakopoulos, 2009. "An econometric analysis of counterterrorism effectiveness: the impact on life and property losses," Public Choice, Springer, vol. 139(1), pages 135-151, April.
    2. Alan B. Krueger & Jitka Maleckova, 2003. "Education, Poverty and Terrorism: Is There a Causal Connection?," Journal of Economic Perspectives, American Economic Association, vol. 17(4), pages 119-144, Fall.
    3. Bozzoli, Carlos & Müller, Cathérine, 2011. "Perceptions and attitudes following a terrorist shock: Evidence from the UK," European Journal of Political Economy, Elsevier, vol. 27(S1), pages 89-106.
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