Highlighting the Major Trade-Offs Concerning Anti-Terrorism Policies

Olaf de Groot () and Cathérine Müller

No 3, EUSECON Policy Briefing from DIW Berlin, German Institute for Economic Research

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.

Pages: 4 p.
Date: 2011
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