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A Differential Game Related to Terrorism: Nash and Stackelberg Strategies

  • A. J. NovakEmail author
  • G. Feichtinger
  • G. Leitmann
Article

Abstract

The question of how best to prosecute the ‘war on terror’ leads to strategic interaction in an intertemporal setting. We consider a nonzero sum differential game between a government and a terrorist organisation. Due to the state-separability of the game we are able to determine Nash and Stackelberg solutions in analytic form. Their comparison as well as the sensitivity analysis deliver interesting insight into the design of efficient measures to combat terror.

Keywords

Differential games Counterterror measures Nash solution Stackelberg solution State-separable games 

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Copyright information

© Springer Science+Business Media, LLC 2010

Authors and Affiliations

  1. 1.Dept. of Business AdministrationUniversity of ViennaViennaAustria
  2. 2.Institute for Mathematical Methods in Economics, Dept. ORDYSVienna University of TechnologyViennaAustria
  3. 3.College of EngineeringUniversity of CaliforniaBerkeleyUSA

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