10 - Transportation Security in Context

Abstract

To be sustainable, transportation security measures must aim at maximizing benefits while not imposing excessive costs on industry, passengers, and taxpayers. Efforts to analyze the economic impact of these measures have been of limited use because of the difficulties involved in calculating both costs and benefits. Industry groups have cited substantial economic losses stemming from security measures, although such claims are difficult to validate. The benefits from prevention of a successful terrorist attack, although undoubtedly substantial, are even harder to quantify.