The diseconomies of terrorism

Phillips, Peter J. (2011) The diseconomies of terrorism. World Economics, 12 (4). pp. 171-192. ISSN 1468-1838

Abstract

The Global Terrorism Database (GTD) contains many active and inactive terrorist groups. The defining characteristic of the terrorist groups contained in the GTD is smallness. Unlike the modern business enterprise, for example, there appears to be no trend towards ‘bigness’. This paper presents an analysis of the size distribution of terrorist groups and the implications of this size distribution for the technological conditions under which the output of terrorism may be increased. With net internal and external diseconomies to larger-scale production of terrorism, we should observe relatively small terrorist groups and little or no tendency for the number and size of terrorist groups in the ‘terrorism industry’ to increase. These facts do characterise the empirically observed size distribution of terrorist groups, and imply that the technological conditions under which the output of terrorism may be increased are characterised by internal and external diseconomies to larger-scale production of terrorism.


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Item Type: Article (Commonwealth Reporting Category C)
Refereed: Yes
Item Status: Live Archive
Additional Information: Permanent restricted access to published version due to publisher copyright policy.
Depositing User: Dr Peter Phillips
Faculty / Department / School: Historic - Faculty of Business and Law - School of Accounting, Economics and Finance
Date Deposited: 26 Jan 2012 02:19
Last Modified: 15 Jun 2012 05:16
Uncontrolled Keywords: terrorist group, size, diseconomies, scale
Fields of Research (FOR2008): 14 Economics > 1402 Applied Economics > 140299 Applied Economics not elsewhere classified
16 Studies in Human Society > 1606 Political Science > 160604 Defence Studies
14 Economics > 1401 Economic Theory > 140104 Microeconomic Theory
Socio-Economic Objective (SEO2008): A Defence > 81 Defence > 8101 Defence > 810107 National Security
URI: http://eprints.usq.edu.au/id/eprint/20472

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