Friday , May 29 2020
Home / Amol Agrawal: Mostly Economics / The drivers of cyber risk

The drivers of cyber risk

Summary:
Iñaki Aldasoro, Leonardo Gambacorta, Paolo Giudici and Thomas Leach of BIS in this research: Cyber incidents are becoming more sophisticated and their costs difficult to quantify. Using a unique database of more than 100,000 cyber events across sectors, we document the characteristics of cyber incidents. Cyber costs are higher for larger firms and for incidents that impact several organisations simultaneously. The financial sector is exposed to a larger number of cyber attacks but suffers lower costs, on average, thanks to proportionately greater investment in information technology (IT) security. The use of cloud services is associated with lower costs, especially when cyber incidents are relatively small. As cloud providers become systemically important, cloud dependence is likely

Topics:
Amol Agrawal considers the following as important: , , , ,

This could be interesting, too:

Amol Agrawal writes Prof Jeemol Unni Webinar on “Impact of COVID19 Lockdown on the Informal Economy”:

Amol Agrawal writes In developing countries, communities and primary care providers—not hospitals—hold the key to successful pandemic response

Amol Agrawal writes Webinar on 30 May 2020: The Science and Economics of Climate Change

Amol Agrawal writes COVID-19 and non-performing loans: lessons from past crises

Iñaki Aldasoro, Leonardo Gambacorta, Paolo Giudici and Thomas Leach of BIS in this research:

Cyber incidents are becoming more sophisticated and their costs difficult to quantify. Using a unique database of more than 100,000 cyber events across sectors, we document the characteristics of cyber incidents. Cyber costs are higher for larger firms and for incidents that impact several organisations simultaneously. The financial sector is exposed to a larger number of cyber attacks but suffers lower costs, on average, thanks to proportionately greater investment in information technology (IT) security. The use of cloud services is associated with lower costs, especially when cyber incidents are relatively small. As cloud providers become systemically important, cloud dependence is likely to increase tail risks. Crypto-related activities, which are largely unregulated, are particularly vulnerable to cyber attacks.

Amol Agrawal
I am currently pursuing my PhD in economics. I have work-ex of nearly 10 years with most of those years spent figuring economic research in Mumbai’s financial sector.

Leave a Reply

Your email address will not be published. Required fields are marked *