An analysis of economic losses from cyberattacks: based on input–output model and production function

Akiyoshi Kokaji () and Atsuhiro Goto ()
Additional contact information
Akiyoshi Kokaji: Institute of Information Security
Atsuhiro Goto: Institute of Information Security

Journal of Economic Structures, 2022, vol. 11, issue 1, 1-17

Abstract: Abstract There has recently been a global increase in economic losses due to cyberattacks. However, research on the economic damage caused by cyberattacks has mainly focused on attacked companies, and spillover damage to other sectors has not been sufficiently investigated. This study analyzed the economic losses from cyberattacks in Japan using the production function and input–output model to improve the accuracy of damage prediction and various national measures. First, we provide an estimation method for the annual direct damage by industry using a production function. The mainstream input dataset is lost working hours owing to cyber incidents. Second, we devised a model to estimate the amount of spillover damage to the entire country using the input–output model. Third, although the cyber damage data were limited to only interview data by the JNSA and IPA, we showed the process of estimating direct and spillover damage in all sectors in Japan. As a result, we consider that our estimation method is feasible and effective at the national level. This study contributes to future research on cyber resilience by analyzing the damage caused by cyberattacks from a macroeconomic perspective using a production function and input–output model.

Keywords: Cyber security; Input–output model; Production function; Spillover damage of cyberattacks (search for similar items in EconPapers)
Date: 2022
References: View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://link.springer.com/10.1186/s40008-022-00286-4 Abstract (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:jecstr:v:11:y:2022:i:1:d:10.1186_s40008-022-00286-4

Ordering information: This journal article can be ordered from
http://www.springer.com/economics/journal/40008

DOI: 10.1186/s40008-022-00286-4

Access Statistics for this article

Journal of Economic Structures is currently edited by Shigemi Kagawa and Kazuhiko Nishimura

More articles in Journal of Economic Structures from Springer, Pan-Pacific Association of Input-Output Studies (PAPAIOS) Contact information at EDIRC.
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().