Terrorism’s Economic Impact

A terrorist attack on the Los Angeles financial district could result in US$16 billion damage to the economy over ten years, according to a joint study by US economists and Monash University’s Centre for Policy Studies.

The nation-wide study found that six months after a “dirty bomb” (bomb with radioactive material) attack, people would expect a 25% wage increase to return to work in the financial district, while 41% would still not shop there.

The long-term effects of a terrorist attack on fear and risk-perception highlight the need to implement strong risk communication processes as a pre-emptive measure.

Read more at Monash University