The Economic Impact of Maritime Piracy in the Gulf of Aden: challenges and implications

Abstract

The purpose of this paper is to analyze maritime piracy and its economic implications with particular attention to attacks registered in the Gulf of Aden, The paper also aims to investigate how the International community, along with Sovereign States, should allocate resources in order to make the seas a safer place and describe how closely inter-related maritime piracy, preventive and punitive measures put in place by Governments are. Elements of economics and ergonomics are taken into account in order to properly investigate the major legal issues relating to maritime security. The paper proposes a cost-benefit analysis in order to investigate in theory what is the rationale behind engaging in criminal behavior and recommend some solutions to the issue to be undertaken by the International community. It is concluded that in order to cost effectively fight piracy, a mix of more coordinated National and International laws, standardized and increased punishment levels among jurisdictions and extended patrol controls are needed.