Document Type

Article

Publication Date

12-1-2007

Abstract

The cost of protecting U.S. private sector critical infrastructure assets is estimated at $10 billion per year. This qualitative research examined the incentives and obstacles for the willing expenditure on terrorism protection by American business, revealing that the implementation of security measures beyond the private sector's day-to-day operational risks have characteristics similar to the private provision of a public good. Notions of moral hazard created by government actions in response to catastrophic events can have an effect that is at odds with encouraging greater private spending in this area. This paper may have important implications for policy-makers looking to address not only the issue of terrorism protection but also the private sector's preparation for catastrophic events more broadly.

Keywords

business ethics

Rights

© The Author(s). Kelvin Smith Library provides access for non-commercial, personal, or research use only. All other use, including but not limited to commercial or scholarly reproductions, redistribution, publication or transmission, whether by electronic means or otherwise, without prior written permission is strictly prohibited.

Department/Center

Design & Innovation

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