The Deterrent and Displacement Effects of Information Security Enforcement: International Evidence
Publication Type
Journal Article
Publication Date
9-2008
Abstract
We adapt the event study methodology from research in financial economics to study the impact of government enforcement and economic opportunities on information security attacks. We found limited evidence that domestic enforcement deters attacks within the country. However, we found compelling evidence of a displacement effect: U.S. enforcement substantially increases attacks originating from other countries. We also found strong evidence that attackers are economically motivated in that the number of attacks is increasing in the U.S. unemployment rate. Our findings were robust to differences in the effective time window of enforcement and the measurement of vulnerabilities.
Keywords
economics, information security, security attacks, security enforcement, unemployment rate
Discipline
Computer Sciences | Information Security
Research Areas
Information Systems and Management
Publication
Journal of Management Information Systems
Volume
25
Issue
2
First Page
125
Last Page
144
ISSN
0742-1222
Identifier
10.2753/MIS0742-1222250206
Publisher
Taylor & Francis (Routledge): SSH Titles
Citation
PNG, Ivan P. L.; WANG, Chen-Yu; and QIU-HONG WANG.
The Deterrent and Displacement Effects of Information Security Enforcement: International Evidence. (2008). Journal of Management Information Systems. 25, (2), 125-144.
Available at: https://ink.library.smu.edu.sg/sis_research/3224
Additional URL
http://dx.doi.org/10.2753/MIS0742-1222250206