The economics of Terrorism

Both Foreign Policy and the NYTimes report on the economics of terrorism (via):

In his October 2004 address to the American people, bin Laden noted that the 9/11 attacks cost al Qaeda only a fraction of the damage inflicted upon the United States. “Al Qaeda spent $500,000 on the event,” he said, “while America in the incident and its aftermath lost – according to the lowest estimates – more than $500 billion, meaning that every dollar of al Qaeda defeated a million dollars.”