THE IMPACT OF EXOGENOUS NON-ECONOMIC SHOCKS ON THE GLOBAL BUSINESS ENVIRONMENT: A CROSS-COUNTRY ANALYSIS OF THE IMPACT OF SEPTEMBER 11TH ON MUSLIM-POPULATED COUNTRIES.

The article addresses the economic repercussions of terrorist attacks. It focuses on the negative impact such events can have on countries with which terrorist groups share cultural or religious affiliations. The example of September 11, 2001 terrorist attacks and their impact on Muslim countries is cited, using the example of commercial risk insurance. It is noted that the cost of doing business in such countries increased significantly following the attacks, and that this type of effect is not adequately accounted for by traditional economic measures of political risk.