Gould, Eric D.; Klor, Esteban F. - In: The Quarterly Journal of Economics 125 (2010) 4, pp. 1459-1510
This paper examines whether terrorism is an effective tool for achieving political goals. By exploiting geographic variation in terror attacks in Israel from 1988 to 2006, we show that local terror attacks cause Israelis to be more willing to grant territorial concessions to the Palestinians....