From
http://www7.economist.com/blogs/gulliver/2011/04/deterring_terrorism">The Economist:
America has increased homeland security spending by more than $1 trillion in the decade since the 9/11 attacks.
http://polisci.osu.edu/faculty/jmueller/MID11TSM.PDF">A new academic paper from John Mueller (of Ohio State University) and Mark Stewart (of the University of Newcastle in Australia) attempts to determine whether the return on investment justified those huge expenditures. They also ask whether policymakers ever considered anything remotely resembling a cost-benefit analysis before they spent all that money. The answer in both cases, it seems, is no:
"
o be deemed cost-effective, would have to deter, prevent, foil, or protect against 1,667 otherwise successful Times-Square type attacks per year, or more than four per day. Although there are emotional and political pressures on the terrorism issue, this does not relieve politicians and bureaucrats of the fundamental responsibility of informing the public of the limited risk that terrorism presents and of seeking to expend funds wisely. Moreover, political concerns may be over-wrought: restrained reaction has often proved to be entirely acceptable politically."As a friend pointed out to me, a dubious premise here is the notion that this spending is indeed chiefly for the purpose of deterring terror attacks... still, it's good to see an analysis that shoots holes in the idea that such spending is rational at the levels currently seen.