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Terrorism & Its Impact On Foreign Flows: Lessons From Pakistan

Author

Listed:
  • Iqbal, Javed
  • Mehmood, Sultan

Abstract

High terrorist attack frequency and intensity in Pakistan provides a unique data to study the impact of terrorism on foreign inflows and trade. After 9/11, Pakistan has suffered from rapidly decreasing foreign inflows and a contraction in trade. The paper estimates the unit cost of a terrorist attack in terms of foreign inflows and international trade lost to be $51.92 million.

Suggested Citation

  • Iqbal, Javed & Mehmood, Sultan, 2012. "Terrorism & Its Impact On Foreign Flows: Lessons From Pakistan," MPRA Paper 42910, University Library of Munich, Germany, revised 04 Dec 2012.
  • Handle: RePEc:pra:mprapa:42910
    as

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    File URL: https://mpra.ub.uni-muenchen.de/42910/1/MPRA_paper_42910.pdf
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    References listed on IDEAS

    as
    1. Tavares, Jose, 2004. "The open society assesses its enemies: shocks, disasters and terrorist attacks," Journal of Monetary Economics, Elsevier, vol. 51(5), pages 1039-1070, July.
    2. Clemente, Jesus & Montanes, Antonio & Reyes, Marcelo, 1998. "Testing for a unit root in variables with a double change in the mean," Economics Letters, Elsevier, vol. 59(2), pages 175-182, May.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Terrorism; trade; foreign inflows; unit cost;

    JEL classification:

    • F24 - International Economics - - International Factor Movements and International Business - - - Remittances
    • C01 - Mathematical and Quantitative Methods - - General - - - Econometrics

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