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Terrorism- eating up the world

Presented by: Baby Naaz

Terrorismis, the use of intentionally
indiscriminateviolenceas a means to create terror
orfear, in order to achieve a political, religious, or
ideological aim.
Terrorism is considered a major threat to society
and therefore illegal underanti-terrorism lawsin
According to data from the
Global Terrorism Database, more than 61,000
incidents of non-state terrorism, claiming over
140,000 lives, have been recorded from 2000 to
Causes of Terrorism.
Effect of terrorism on worlds economy.
How to control terrorism.
Causes of terrorism
1) Political roots
2) Economic and social roots
3) Ideological and religious roots
4) Psychological roots
Number of terrorists incidents by country
Effect of Terrorism on Worlds economy:

1. Direct Economic Destruction

The most immediate and measurable
impact of terrorism is physical destruction.
On smaller scales, acts of terrorism may
blow up cafes, churches or roads.
Large-scale attacks, most infamously the
World Trade Center bombings on Sept. 11,
2001, can destroy billions of dollars' worth
of property and senselessly kill thousands
of productive workers.
2. Increased Uncertainty in the Markets

Terrorism creates a lot of uncertainity. The

financial markets literally shut down after
Sept. 11, and did not really recover until
months after the 2003 invasion of Iraq.
The real threat of global terrorism from an
investor's perspective is about the broader
picture, not individual incidents.
International investment and cooperation
are lower in a world full of terrorism.
3. Insurance, Trade, Tourism and FDI

Terrorism is risky business for everyone, and

insurance companies hate risk as much as
anyone else.
On a broader scale, terrorism hurts
international trade. This may be due to
imminent threats, such as compromised trade
routes and distribution systems, or because of
the psychological and physical reactions to
This also means less foreign direct investment
(FDI), especially in unstable countries.
Market Impact of Four Major Terrorist Attacks

Using thestock marketas one way to measure

the economy, consider the impact of four major
terrorist attacks on the benchmark equity index
of the nation where the attacks occurred. These
four attacks had mass casualties and include:
the 9/11 attacks in the United States
the March 11, 2004 train bombing in Madrid,
the July 7, 2005 subway blasts in London
the November 26, 2008 attacks in Mumbai, India
Impact of Four Major Terrorist Attacks
on Reference Indices over Time
Ways to curb terrorism
Economic Development:
Strengthening the Administrative
Effective Governance
Border Management
Terrorism, the cancer of the modern
world, a growing threat to the
maintenance of an orderly society.
Hinders development, economic and
political stability and democratic institution
is one of the most challenging problems of
the modern times.
Terrorist strikes will continue and so will be
the killing unabated, till we really, honestly,
sincerely and unselfishly decide to protect
mankind and abhor the ambition for one-