Working Packages (WP)

WP1 Literature review  

In this WP, we perform a systematic literature review on the economics of cyber risk. Particular attention will be devoted to previous theoretical and empirical works studying the drivers and motivations of cyber attacks, the incentives of firms to invest in online safety, and consumer’s awareness and behavior in the presence of cyber risk. Starting from a recent survey by Fedele and Roner (2022, Journal of Economic Survey) on cybersecurity investments, we critically discuss the received literature, update the analysis with the most recent developments on the economics of cyber risk and discuss areas that require further investigation.

WP2 Exposure to cyber-risk: factors external to firms

In this WP, we explore the factors affecting the risk of cyberattacks and originating outside of the firm. Due to their external origin, these factors are beyond the firm’s control and may be related to the behavior of hackers, structural factors such as the characteristics of the digital infrastructure, and risky consumers’ activities.

WP3 Exposure to cyber-risk: factors internal to firms

Firm’s exposure to cyber risk also depends on the firms’ own strategies. In this WP we explore firms’ incentives to invest in cybersecurity and the interplay with the market structure. We focus on how different market structures can promote investments in security, which are at the same time effective and not duplicative.

WP4 Policy and regulation

In this WP, we study policy instruments to ensure online safety and the effect of the interplay between different policies on consumer behavior and firm’s investments.