THE SHIFT FROM THE RURAL INSURGENCIES OF THE 1950'S AND 1960'S IN LATIN AMERICA TO ACTS OF TERRORISM AND URBAN GUERRILLA WELFARE IN THE 1970'S HAS CREATED A DILEMMA FOR WESTERN GOVERNMENTS. THE AUTHORS ASSERT THAT THE NATIONS OF THE WESTERN HEMISPHERE ARE LIKELY TO FIND THIS NEW INSURGENCY A GROWING THREAT UNLESS THE CURRENT ECONOMIC AND SOCIOPOLITICAL PROBLEMS ARE SATISFACTORILY RESOLVED. IN THEIR VIEW, THE TACTICS AND EQUIPMENT DEVELOPED TO COMBAT THE RURAL GUERRILLA ARE NOT READILY ADAPTABLE TO THE URBAN ENVIRONMENT; HOWEVER, THE DESTRUCTIVE CAPABILITIES OF THE URBAN TERRORISTS' ARSENAL HAVE GROWN ENORMOUSLY. THE AUTHORS ARGUE THAT A NEW STRATEGY FOR DETERRING AND COMBATING URBAN GUERRILLAS MUST BE DEVELOPED, AND THEY SET FORTH PRINCIPLES THAT WILL AID IN THE FORMULATION OF SUCH A STRATEGY. A BIBLIOGRAPHY IS PROVIDED. (AUTHOR ABSTRACT MODIFIED--VA)