Latest Updates
Article in the Handelsblatt: In this article, Tilman Brück and Friedrich Schneider, two members of the EUSECON consortium, were interviewed about the economic costs of terrorism. Click here to view the article (in German).
Households in Conflict Network (HiCN): Little is known about the effects of conflict on household behaviour, household welfare and poverty. The Households in Conflict Network (HiCN) brings together researchers interested in the micro level analysis of the relationship between violent conflict and household welfare ...more information
FP6 Project on Microconflict MICROCON, or ‘A Micro Level Analysis of Violent Conflict’, is a five-year research programme funded by the European Commission, which takes an innovative micro level, multidisciplinary approach to the study of the conflict cycle ...more information
Tilman Brück in the "Berliner Zeitung": Tilman Brück, Coordinator of EUSECON, was interviewed on the efficiency of counter-terrorism policies. One aspect that was highlighted is that these policies are often expensive and less effective than they could be. Click here to download the German-language article.
Article in the Handelsblatt: Tilman Brück, the coordinator of the EUSECON consortium, talks about the economic costs of terrorism. Click here to view the article (in German).
Tilman Brück holds a lecture on the economics of security at the University of Potsdam. His speech is part of the lecture series on “Homeland Security” organized by the Brandenburg Institute for Society and Security (BIGS). Please click here for more information about the lecture series.
EUSECON has launched a series of Policy Briefings on the Economics of Security. The series aims to present the most salient findings of the four-year research project to a wide range of audiences, including policy-makers, security experts, and general readers interested in this topic. To view the Policy Briefings Series, please refer to the webpage.
The Economist published an article “Bargain like a Somali. How to negotiate with pirates in the Horn of Africa” discussing the Economics of Security Working Paper by Olaf J. de Groot, Matthew D. Rablen and Anja Shortland “Barrgh-gaining with Somali Pirates”. Please follow the link to read the article.
NEAT Resources
CONTENTS
Fourth NEAT Workshop Documentation
Third NEAT Workshop Documentation
Second NEAT Workshop Documentation
First NEAT Workshop Documentation
DOCUMENTATION FROM THE FOURTH NEAT WORKSHOP
Download: Workshop Agenda
Session 1: Recent Economic Research on the Link between Terrorism and Development
Véronique Thelen
Foreign Aid vs. Military Intervention in the War on Terror
Download: Paper; Presentation
Prakarsh Singh
Impact of Terrorism on Investment Decisions of Farmers
Download: Presentation; Paper not available
Javed Younas
What Spurs Terrorism in Developing Nations?
Download: Paper; Presentation
Anja Shortland
Eye for an Eye, Tooth for a Tooth: Political Violence and Counter-Insurgency in Egypt
Download: Paper; Presentation
Session 2: Recent Economic Research on Counter-terrorism
Claude Berrebi
The Economic Cost of Harboring Terrorism
Download: Presentation; Paper not available
Juan Gabriel Rodríguez
Social Preferences for National Defense and Police Enforcement in Western Europe
Download: Paper; Presentation
Teun van Dongen
Break it Down: An Alternative Approach to Measuring the Effectiveness of Counterterrorism
Download: Paper; Presentation
Session 3: Recent Economic Research on Terrorism
Konstantinos Drakos
Fiscal Cost Aspects of Terrorism
Download: Presentation; Paper not available
Esteban Klor
Does Terrorism Work?
Download: Paper; Presentation
Raul Caruso
Al-Qaeda and Jihadist Terrorism in the Light of Contest Theory: A Theoretical Note and Empirical Evidence Over the Period 2004-2008
Download: Paper; Presentation
Special Presentation on Rail Network Security
Stefan Pickl
An Economic Impact Analysis on Terrorist Attacks against Public Transport Networks
Paper not available
DOCUMENTATION FROM THE THIRD NEAT WORKSHOP
Download: Workshop Program
Session on Economic Aspects of Government Access to Privately-Collected Data
Download: Documentation of this session
Maria-Martina Yalamova (LSE & Privacy International)
Presentation on Economic Aspects of Public-Private Partnerships in Counter-terrorism
(For access to this presentation, please send an email to the NEAT Project Administrator.)
Session on Economic Aspects of CBRN Terrorist Threats
Download: Documentation of this session
Kate Ivanova (Ohio State University, USA)
Presentation on CBRN Attack Perpetrators and their Targets
Martin Kalinowski (Carl Friedrich von Weizsäcker Center for Science and Peace Research, University of Hamburg)
Presentation on CBRN Threats and the Economic Analysis of Terrorism
DOCUMENTATION FROM THE SECOND NEAT WORKSHOP
Session 1: Economic and Financial Aspects of Terrorism
Erwann Michel-Kerjan
Evaluating the Effectiveness of Terrorism Risk Financing Solutions
Download: Paper
Apostolos Stagiannis
Terrorist Attacks and Capital Markets: Evidence from the Madrid and London Stock Exchanges
Download: Paper; Presentation
Carlos Martí Sempere
The European Security Industry: A Research Methodology
Download: Paper; Presentation
Konstantinos Drakos
Security Economics: A Guide for Data Availability and Needs
Download: Paper; Presentation
Session 2: Economic Analysis of Societal Impact
Anja Shortland
Does Television Terrify Tourists? Effects of US Television News on Demand for Tourism in Israel
Download: Paper; Presentation
Esteban Klor
The Struggle for Palestinian Hearts and Minds: Violence and Public Opinion in the Second Intifada
Download: Paper; Presentation
Catherine Müller
Perceptions, Concerns and Attitudes to Terrorist Shocks: Evidence from the UK
Download: Paper; Presentation
Benedikt Goderis
Human Rights after 9/11 and the Role of Constitutional Constraints
Download: Paper; Presentation
Session 3: Economics of Terrorism - Determinants
Daniel Meierrieks
What Causes Terrorism?
Download: Paper; Presentation
Friedrich Schneider
The Origins of Terrorism: Cross-Country Estimates on Socio-Economic Determinants of Terrorism
Download: Paper; Presentation
Raul Caruso
Deadly Contests: An Economic Note on al Qaeda's Reward System
Download: Paper; Presentation
Session 4: Economics of Terrorism – Responses & Impact
Daniel Mejía
The War on Illegal Drug Production and Trafficking: An Economic Evaluation of Plan Colombia
Download: Paper; Presentation
Monika Hjeds Löfmark
Terrorism and Transition – Characteristics to Watch For
Download: Paper; Presentation
Juan Prieto-Rodríguez
Quantifying Fear: The Social Impact of Terrorism
Download: Paper; Presentation
DOCUMENTATION FROM THE FIRST NEAT WORKSHOP
Prof. Tilman Brück and Prof. Friedrich Schneider
A Survey on the Economics of Security
Comments by Prof. Bruno Frey
Download: Paper; Presentation
Prof. Mark Harrison
Bombers and Bystanders in Suicide Attacks in Israel
Comments by Prof. Javier Gardeazabal
Download: Paper; Presentation; Comments
Prof. Konstantinos Drakos
Counterterrorism Effectiveness and Terrorism-Induced Property Losses
Comments by Prof. José Tavares
Download: Paper; Comments
Prof. S. Mansoob Murshed
Transnational Terrorism as a Spillover of Domestic Disputes
Comments by Prof. Michael Brzoska
Download: Presentation
KEY PUBLICATIONS AND STUDIES IN THE FIELD OF SECURITY ECONOMICS
A Survey on the Economics of Security
"A Survey on the Economics of Security"
by Tilman Brück, Marie Karaisl, Friedrich Schneider
DIW Berlin: Politikberatung kompakt 41
Annual Updates of the Survey on the Economics of Security
Update on the Survey of the Economics of Security - 2008 (click to download)
Other Publications
Berrebi, C. and E. F. Klor (2005). “The Impact of Terrorism Across Industries: An Empirical Study.” CEPR Working Paper 5360.
Click here to view this paper on the Centre for Economic Policy Research (CEPR) website.
European Security Research Advisory Board (2006). “Meeting the Challenge: the European Security Research Agenda.” European Commission.
Click here to view this paper on the European Commission website.
Krueger, A. B. and J. Maleckova (2002). “Education, Poverty, Political Violence and Terrorism: Is There a Causal Connection?” NBER Working Paper Series 9074.
Click here to view this paper on the National Bureau of Economic Research (NBER) website.
Lakdawalla, D. and G. Zanjani. “Insurance, Self-Protection, and the Economics of Terrorism.” NBER Working Paper Series 9215.
Click here to view this paper on the National Bureau of Economic Research (NBER) website.
Lenain, P., M. Bonturi and V. Koen (2002). “The Economic Consequences of Terrorism.” OECD Working Paper 334, OECD Publishing.
Click here to view this paper on the Organisation for Economic Co-operation and Development (OECD) website.
Llussa, F. and J. Tavares (2007). “Economics and Terrorism: What We Know, What We Should Know and the Data We Need.” CEPR Working Paper 6509.
Click here to view this paper on the Centre for Economic Policy Research (CEPR) website.
Mirza, D. T. and T. Verdier (2006). “International trade, security and transnational terrorism: Theory and empirics.” CEPR Working Paper 6174.
Click here to view this paper on the Centre for Economic Policy Research (CEPR) website.
Walkenhorst, P. and N. Dihel (2002). “The Impact of the Terrorist Attacks of 11 September 2001 on International Trading and Transport Activities.” OECD Working Paper, OECD Publishing.
Click here to view this paper on the Organisation for Economic Co-operation and Development (OECD) website.
RELEVANT RESEARCH PROJECTS
European Liberty and Security (ELISE) – This study focused efforts on understanding and refining security concepts and developing the analytical frameworks necessary to guide future research in the field. In addition, it also served to produce relevant policy prescriptions for governments in the wake of events such as the Madrid terrorist attacks on March 11, 2004. It was a three year initiative begun in 2002 and was funded under the European Commission’s Fifth Framework Research Programme.
More information can be found on the project website.
International Policy Institute for Counter-Terrorism (ICT) – This institute was founded in 1996 to address instances of global terrorism. Located in Israel, ICT is funded by private donations and also serves as a forum for international academics and policy leaders.
More information can be found on the institute website.
International Relations and Security Network (ISN) – This network seeks to provide a means for effective communication between security and international relations professionals throughout the world. ISN was founded in 1994 and is based in Zurich, Switzerland.
More information can be found on the network website.
Center on Terrorism, Counter-Terrorism, and Homeland Security at the Foreign Policy Research Institute – This institute is committed to developing methods to effectively combat terrorism worldwide. It was founded in 1955 and is a leading institute for terrorism studies.
More information can be found on the institute website.
American Terrorism Study – This study focuses on the study of terrorism, extremist violence, and on the analysis of the effectiveness of intervention strategies. It has been ongoing since 2000 and is funded by the United States Department of Homeland Security and the Department of Justice.
More information can be found on the study website.
INTERNATIONAL STATISTICAL RESOURCES
• Organisation for Economic Co-operation and Development (OECD)
• Eurostat
• Europol
• United Nations Statistics Division
• US Department of State: Office of the Coordinator for Counterterrorism
• Lawson Terrorism Information Center
• Global Terrorism Database (GTD)
• South Asia Terrorism Portal
• International Terrorism: Attributes of Terrorist Events (ITERATE): 1968-1977
• American Terrorism Study: 1980-2002
GLOSSARY OF TERMS
This is a list of terms that will be continuously updated as research develops. Feedback from network members and from the public is welcome in the NEAT Forum.
· Security – the protection of an already-established system, typically of economic or governmental nature, from risks which threaten the safety of the system. Insecurity, by contrast, is characterized by the absence of the possibility to avoid or secure against certain risks [Example: Osberg, L. (1998). “Economic Insecurity.” SPRC Discussion Paper No. 88, Social Policy Research Centre, University of New South Wales, Sydney, Australia. Click here to view the Social Policy Research Centre website, where this paper can be found.]
· Security Economy – a cluster of products and services which deal with deterring or minimizing the risks of deliberately induced damage to life and property, such as those that result from terrorism. These products and services include defence and counter-intelligence, private and public policing, and providers of security technologies. [Stevens, B. (2004). “The Security Economy.” OECD Working Paper, OECD Publishing. Click here to view this paper on the OECD Website.]
· Civil Security – an approach to analyzing security or insecurity that deals with instances at the individual level, as opposed to the national scale
· Terrorism – “terrorism is the premeditated use – or threatened use – of extranormal violence or force to gain political objective through intimidation or fear,” which is directed at a large audience usually beyond the immediate victims. Three key characteristics include the pursuit of political goals, targeting civilians, and targeting an audience (e.g. state) to exert pressure by intimidation or fear. [Enders, W. and T. Sandler (1993). “The Effectiveness of Anti Terrorism Policies: A Vector-Autoregression Intervention Analysis.” American Political Science Review 87: 829-44. Click here to view the American Political Science Review website, where this paper can be found.]
· New Terrorism – terrorism of the modern day, which focuses on negatively affecting both economic growth of developed countries and globalization, thereby paralyzing the economic capability of the state. This terrorism is increasingly more network-structured, more global in reach, more lethal, and more diverse in terms of motivations, sponsorship, and security consequences
· Radicalization – the process during which individuals reject traditional values or beliefs, or, oppositely, adopt politically radical values, ideas, or ideologies that may not have arisen from tradition. This results in the creation of human drivers of insecurity that resort to radical means
· Human Drivers of Insecurity – individuals who undermine security, typically through acts of terrorism
· Dynamic Insecurity – resulting from the actions of human drivers of insecurity, a continual system of uncertainty is created which makes predicting future events difficult
· CBRN – acronym which refers to incidents of Chemical, Biological, Radiological, and Nuclear insecurity