Terrorist actions can have a multitude of economic consequences that may adversely affect a number of economic indices, sectors and activities including growth and investment. From the markets' perspective, terrorist attacks are unforeseen events that, depending among other things on their...

'The money trail' of terrorist activity has become a focus of counterterrorist policy. There has been major success in implementing international standards to prevent and detect terrorist financing. Available evidence suggests that these efforts have contributed to a decrease in transnational...

In this Policy Briefing, we discuss two important questions: (i) whether and how terrorism shocks are transmitted across international stock markets, (ii) what is the role of behavioral factors in explaining these stock market reactions. According to our findings terrorism shocks are indeed...

The problem of piracy and other forms of maritime security is actually less severe than many people perceive. Nevertheless, it is a problem that needs to be addressed. To solve the problems around Somalia, the naval involvement should continue, and effective punishment for piracy must be...

The New Agenda for European Security Economics (EUSECON) is a project that, since 2008, explores the challenges and opportunities in research on human-induced security risks. After defining security as a good that has both public and private characteristics, the research focuses on different...

When defining the absence of a threat as an economic good, it is necessary to define this good using the standard economic typology: is security a private, public, club or common good? We argue in this Policy Briefing that security provision can display characteristics belonging to any of these...

The literature on conflict and terrorism has paid little attention to the economic costs of terrorism for the perpetrators of terror attacks. Our research fills that gap by examining the economic costs of harboring suicide terror attacks. We combine data on Palestinian suicide terrorists with...

While the existing empirical literature shows that poverty and economic conditions are not correlated with the quantity of terror, theory predicts that poverty and poor economic conditions may affect the quality of terror. Poor economic conditions may lead more able individuals to participate in...

Within EUSECON, one research subproject investigates the relationship between economic downturns, terrorism and electoral outcomes. The analysis is carried out using data from Spain. Recent Spanish democratic history has witnessed four complete economic cycles, with deep recessions and...

Our research confirms that public opinion has an impact on the occurrence of terrorism. Specifically, we find that the opinion in one country on the performance of the leader of a foreign power has an impact on the occurrence of terrorism originating from the former country and directed against...