Abstract
Refugees’ effect on domestic terrorism is conditioned by host-country social perception (attitude about living next-door to foreigners) and economic competition. These hypotheses are tested cross-nationally from 1995-2014 leveraging data from the World Values Survey. The results show social perception matters. When refugee flow to a country increases from the mean to 75th percentile, it does not statistically alter domestic terrorism risk. But when a host-country’s preference to not live next-door to foreigners is accounted for and changes from the mean (20.9%) to 75th percentile (30.3%), the change in refugee flow increases the risk of domestic terrorism by 40%.
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