Terrorist Use of the 1/N Heuristic in Attack Method Choice

A simple rule of thumb or heuristic that may be used in place of complete optimisation is a 1/N heuristic. That is, choose equally across alternatives. Terrorist groups select from among attack method categories. In doing so, we ask whether they apply a 1/N heuristic or whether a more sophisticated decision-making process may be a more suitable starting point for understanding terrorist attack method choice when combinations of alternatives is feasible. Ultimately, we conclude that the stability that is evident in the proportions that each attack method constitutes in the aggregate of combinations formed by all terrorist groups since 1970 is reflective of the structure predicted by Phillips’ (2009) application of the Markowitz mean-variance utility analysis.

[1]  Patrick T. Brandt,et al.  What Do Transnational Terrorists Target? Has It Changed? Are We Safer? , 2010 .

[2]  P. J. Phillips,et al.  Prospect Theory and Terrorist Choice , 2014 .

[3]  Todd Sandler,et al.  Terrorist Success in Hostage-Taking Incidents , 1987 .

[4]  Todd Sandler,et al.  Terrorists versus the Government , 2006 .

[5]  T. Sandler,et al.  Too Much of a Good Thing? , 2004 .

[6]  Scott E. Atkinson,et al.  Terrorism in a Bargaining Framework , 1987, The Journal of Law and Economics.

[7]  Friedrich Schneider,et al.  The Economics of Counterterrorism: A Survey , 2015 .

[8]  Luis A. Gil-Alana,et al.  ARE USA CITIZENS AT RISK OF TERRORISM IN EUROPE? , 2007 .

[9]  T. Sandler,et al.  An economic perspective on transnational terrorism , 2004 .

[10]  Peter J. Phillips,et al.  Terrorist choice: a stochastic dominance and prospect theory analysis , 2017 .

[11]  A. Tversky,et al.  Prospect theory: an analysis of decision under risk — Source link , 2007 .

[12]  Victor DeMiguel,et al.  Optimal Versus Naive Diversification: How Inefficient is the 1/N Portfolio Strategy? , 2009 .

[13]  P. J. Phillips APPLYING MODERN PORTFOLIO THEORY TO THE ANALYSIS OF TERRORISM. COMPUTING THE SET OF ATTACK METHOD COMBINATIONS FROM WHICH THE RATIONAL TERRORIST GROUP WILL CHOOSE IN ORDER TO MAXIMISE INJURIES AND FATALITIES , 2009 .

[14]  Antal Deutsch,et al.  On the Economics of terrorism , 1982 .

[15]  Media and Terrorist Choice: A Risk–Reward Analysis , 2015 .

[16]  B. Frey,et al.  How to Fight Terrorism: Alternatives to Deterrence , 2003 .

[17]  Harvey E. Lapan,et al.  To Bargain or Not to Bargain: That is the Question , 1988 .

[18]  Todd Sandler,et al.  Terrorist attack and target diversity , 2013 .

[19]  T. Sandler,et al.  A Theoretical Analysis of Transnational Terrorism , 1983, American Political Science Review.

[20]  Todd Sandler,et al.  New frontiers of terrorism research: An introduction , 2011 .