Strategic Cyberwarfare

Erik Lillethun and Rishi Sharma

MPRA Paper from University Library of Munich, Germany

Abstract: This paper develops a theoretical model of cyberwarfare between nations, focusing on the factors that determine the severity and outcomes of cyber conflicts. We introduce a two-country model where nations invest in offensive or defensive cyber capabilities across networked systems. We show that resource expenditure intensifies when players' effective values are similar, which can help explain the rise of cyberwarfare. We explore the implications of network structures, showing how larger attack surfaces worsen outcomes for defenders. Additionally, we investigate the impact of private cyber defence provision, and find that centralized policies may either improve or exacerbate cyber conflict.

Keywords: cyberwarfare; cyberattacks; networks (search for similar items in EconPapers)
JEL-codes: C72 D74 D85 F5 (search for similar items in EconPapers)
Date: 2024-06-18
New Economics Papers: this item is included in nep-gth and nep-net
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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:121299

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