The Law and Economics of Cybersecurity

doi:10.1017/CBO9780511511523

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The Law and Economics of Cybersecurity

The Law and Economics of Cybersecurity

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Edited by Mark F. Grady, University of California, Los Angeles, Francesco Parisi, George Mason University, Virginia

Publisher:: Cambridge University Press
Online publication date:: August 2009
Print publication year:: 2005
Online ISBN:: 9780511511523
DOI:: https://doi.org/10.1017/CBO9780511511523

Subjects:: Economics, Industrial Economics, Law: General Interest, Law

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Cybersecurity is a leading national problem for which the market may fail to produce a solution. The ultimate source of the problem is that computer owners lack adequate incentives to invest in security because they bear fully the costs of their security precautions but share the benefits with their network partners. In a world of positive transaction costs, individuals often select less than optimal security levels. The problem is compounded because the insecure networks extend far beyond the regulatory jurisdiction of any one nation or even coalition of nations. Originally published in 2006, this book brings together the views of leading law and economics scholars on the nature of the cybersecurity problem and possible solutions to it. Many of these solutions are market based, but they need some help, either from government or industry groups, or both. Indeed, the cybersecurity problem prefigures a host of twenty-first-century problems created by information technology and the globalization of markets.

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The Law and Economics of Cybersecurity

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Contents

Frontmatter
pp i-iv

Contents
pp v-vi

Acknowledgments
pp vii-vii

Contributors
pp viii-viii

The Law and Economics of Cybersecurity: An Introduction
pp 1-10

PART ONE - PROBLEMS
pp 11-12

1 - Private versus Social Incentives in Cybersecurity: Law and Economics
pp 13-28

2 - A Model for When Disclosure Helps Security: What Is Different about Computer and Network Security?
pp 29-70

3 - Peer Production of Survivable Critical Infrastructures
pp 71-114

4 - Cybersecurity: Of Heterogeneity and Autarky
pp 115-140

PART TWO - SOLUTIONS
pp 141-142

5 - Network Responses to Network Threats: The Evolution into Private Cybersecurity Associations
pp 143-192

6 - The Dark Side of Private Ordering: The Network/Community Harm of Crime
pp 193-218

7 - Holding Internet Service Providers Accountable
pp 219-258

8 - Global Cyberterrorism, Jurisdiction, and International Organization
pp 259-296

Index
pp 297-310

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