In terrorism, economic development, and political openness, edited by 2009. This volume addresses these crucial questions, synthesizing what we know about the development links with terrorism and pointing out what we do not. A crosscountry study of the origins and targets of terrorism, in philip keefer and norman loayza eds. Economic consequences ms university of texas at dallas. The term economic terrorism or financial terrorism is strictly defined to indicate an attempt at economic destabilization by a group. An overview 17 todd sandier and walter enders 2 the costs of responding to the terrorist threats. Social and economic development policies can contribute to the expansion of a new middle class in communities that have traditionally lent support to terrorist groups. A crosscountry study of the origins and targets of terrorism by alan b. Cambridge core economic development and growth terrorism, economic development, and political openness edited by philip keefer. Assistant professor of economic development, department of economics, university of thessaly e mail. Terrorism, economic development, and political openness philip keefer, norman loayza on. Economic consequences of terrorism in developed and 24 developing countries. These factors govern a countrys robustness to growth shocks from terrorism and the degree to which terrorism is rooted in poor economic performance and thus its responsiveness to socioeconomic progress as a remedy for terrorism. What is the development impact of different responses to terrorism.
Proponents of this view believe that economic globalization promotes economic development, which in turn. Economic, social and political globalization and terrorism. Terrorism is the premeditated use or threat to use violence by individuals or subnational groups against noncombatants to obtain a political or social objective through the intimidation of a large. The growth rate of per capita gdp, foreign aid and economic openness do not exhibit a statistically significant relationship to terror attacks according to our results.
What are the relative weights of the economic, political. To what extent are terrorism and development related. Assessing the economic cost of terrorism is a very difficult exercise. Causality between terrorism and economic growth daniel. It is also important to look at how terrorism affects behavior, how economic concepts can help us understand the behavior of individuals and.
International terrorism, political instability and the. The costs of terrorism 1 economic consequences of terrorism in developed and developing countries. Social and economic development policies can weaken local support for terrorist activities. Development assistance and counterterrorism american. Separate the impacts of socioeconomic and political factors on. The structural root causes of nonsuicide terrorism. The direct role of economic factors, such as poverty and inequality, and of policy measures, such as sanctions, is one way to examine the economics of terrorism.
The authors find that the causal relationship between terrorism and growth is. See pape 2003 and krueger and laitin 2008 for empirical analyses on suicide terrorism. Professor of economics and political economy at the university of texas at dallas. The economics of terrorism and counterterrorism econstor. Users without a subscription are not able to see the full content. Evidence from indonesia yasuyuki todo and daichi shimamoto economic growth of emerging economies often relies on learning of the knowledge and technology of developed countries and their diffusion within the economy. The relationship between terrorism and economic growth.
Contrary to economic warfare which is undertaken by states against other states, economic terrorism would be undertaken by transnational or nonstate actors. Terrorism, economic development, and political openness by. Terrorism, economic development, and political openness edited. The link between openness and longrun economic growth. In both cases, social and economic networks play an important role, and the. Pdf terrorism, economic development, and political openness. Loayza eds, terrorism, economic development, and political openness. Pdf terrorism, economic development and political openness. Pdf terrorism, economic development, and political. This article analyzes the causal relationship between terrorism and economic growth, running a series of tests for granger noncausality with panel data for a maximum of 160 countries from 1970 to 2007. We provide a critical discussion of the existing empirical evidence and refer to a number of.
An overview 17 todd sandler and walter enders 2 the costs of responding to the terrorist threats. An overview terrorism is the premeditated use or threat of use of violence by individuals or subnational groups to obtain a political or social objective through the intimidation of a large audience, beyond that of the immediate victim. Globalization, however, goes beyond simple increases in economic interactions to include cultural, military, political and social aspects mcgrew 2011. Terrorism, economic development, and political openness, ed. Political economy of terrorism recent contributions and some object lessons by jaromir cekota, phd. There are a number of factors that can contribute to increased levels of globalization. The link between openness and longrun economic growth web version. Terrorism, economic development, and political openness. Terrorism, economic development, and political openness edited by philip keefer february 2008.
However, economic and political openness might further facilitate mobilization. The impact of terrorism and conflicts on growth in asia, 19702004. Terrorism, economic development, and political openness edited by philip keefer february 2008 skip to main content accessibility help we use cookies to distinguish you from other users and to provide you with a better experience on our websites. If we want to defeat terrorism permanently and completely, we need to tackle it comprehensively, using political and military intelligence, social integration, and economic development. Discrimination against minority groups is a robust predictor of domestic terrorism. Semantic scholar extracted view of terrorism, economic development, and political openness. The economics of terrorism is a branch of economics dedicated to the study of terrorism. Relative deprivation theory holds that instead of an absolute standard of deprivation, a gap between expected and achieved welfare leads men to political violence. Terrorism, economic development and political openness. Chapter 5 in terrorism, economic development and political openness. Economic globalization and transnational terrorism a pooled timeseries analysis quan li drew schaub. Socioeconomic antecedents of transnational terrorism.
Fearonand laitin2003 conclude that poverty has a significant positive effect on violent. Collectively, they make a compelling case that these impacts vary across countries in accordance with their levels of economic development and political openness. What are the relative weights of the economic, political, and social aspects of development. Effect of minority discrimination, economic globalization, and. February 8, 2008 while a small political economy literature on terrorism and counterterrorism dates back over two decades, there has been an explosion of such research since the attacks of september 11, 2001. It involves using the tools of economic analysis to analyse issues related to terrorism, such as the link between education, poverty and terrorism, the effect of macroeconomic conditions on the frequency and quality of terrorism, the economic costs of terrorism, and the economics of counterterrorism. What are the relative weights of the economic, political, and social.
Todd sandler and walter enders, economic consequences of terrorism in developed and developing countries. Terrorism economic development and political openness cambridge. This section provides information on the readings assigned for each lecture session of the course and lecture notes from a session on warlords. Our study will also span into the political economy of terrorism and the effect of terrorism on voter s preferences. The study finds, among other things, that for the postcold war era, terrorism is found to be detrimental to growth for african and islamic countries with low levels of political openness, high levels of political instability, and strong terrorist activity. Some papers explore the impact of terrorism on the economy, while others investigate the impact of economic, political, and social conditions on the incidence of terrorist behavior.
My research examines whether levels of unemployment and higher education that reflect relative deprivation correspond with an increase in terrorist attacks. Terrorism,economicdevelopment,and politicalopenness. Policy makers and scholars are concerned with development terrorism links in both directions. Kennedy school of government, harvard university and nber, 79 john f. An overview, in terrorism, economic development, and. We provide an overview of empirical evidence on the determinants of terrorism, in particular focusing on the origins and targets of transnational terrorism. We also assemble several broad theoretical families that relate terrorism to, e. Terrorism, economic development, and political openness 1 philip keefer and norman loayza part one. A cross country study of the origins and targets of terrorism. Overview terrorism, economic development, and political openness philip keefer and norman loayza terrorism is as old as war, but only with the attacks of september 2001 in new york and washington, march 2004 in madrid, and july 2005 in london did it become a central concern of governments in the rich countries of the west. Abstractdiscrimination against minority groups is a robust predictor of domestic terrorism. The impact of terrorism and conflicts on growth in asia. Capital openness terrorism and political stability are the most important factors in attracting fdi.
The effect of assassinations on institutional change and war. Terrorism, economic development and political openness article in perspectives on politics 7. However, economic and political openness might further facilitate mobilization of such aggrieved sections of a larger population. Munich personal repec archive fdi and terrorism in developing asia. Terrorism, economic development, and political openness download here. This study relates economic and political openness to minority discrimination in explaining vulnerability to domestic terrorism.
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