An Economic Approach to Security

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Proposal Number: 0428422Title: An Economic Approach to SecurityPI: Joan FeigenbaumAbstract Internet security is universally seen as an extremely important problem. Moreover, technical solutions developed over the last three decades represent deep and elegant intellectual contributions. Yet few of these solutions are in widespread use. Clearly something is amiss. It has recently been argued, by Anderson and others, that the missing linkis economics: Only through understanding the incentives inherent in various security proposals can one decide which, if any, would actually lead to greater security. This research project is a three-year, multi-institutional, multi-disciplinary investigation of the economics of security in networked environments. Specific research topics include security of interdomain routing, adoptability of trusted platforms, and markets for private information. The intellectual merit and broader impact of the project are intertwined, both based on the potential not only to solve technical problems but also to develop general analytical techniques for evaluating candidate solutions to real security problems in a manner that gives adoption incentives their just due. If successful, it will lead to greater actual security, rather than simply to more available security technology. Educational activity that integrates security, networking, and economics is also a major goal one on which the investigators have experience on both graduate and undergraduate levels.