TERRORISTS ATTEMPT TO GAIN POLITICAL POWER BY OVERTHROWING OR DESTROYING A REGIME USING ACTS OF EXTRAORDINARY VIOLENCE THAT FORM A CONSISTENT PATTERN OF EVENTS. TARGETS INCLUDE AIRLINE PASSENGERS, GOVERNMENT OFFICIALS, DIPLOMATS, PROMINENT SUPPORTERS OF THE TARGETED GOVERNMENT, CITIZENS OF ANY COUNTRY WHOSE POLICIES TERRORISTS WANT TO INFLUENCE, AND EXECUTIVES OF MULTINATIONAL CORPORATIONS. TERRORISM AFFECTS PEOPLE BY PLAYING ON EMOTIONAL REACTIONS OF FEAR, ANXIETY, AND SHOCK. THE LONG-RUN OBJECTIVE OF MOST TRANSNATIONAL TERRORIST GROUPS IS TO BECOME A GOVERNMENT IN THE TRADITIONAL SENSE. A FEATURE COMMON TO REVOLUTIONARY MOVEMENTS IS LACK OF WIDESPREAD SUPPORT AMONG THE PEOPLE THEY ASPIRE TO REPRESENT. AS IT HAS AFFECTED THE STRUCTURE OF THE NATION-STATE, TERRORISM HAS PRODUCED INTERNAL CONFLICTS, INSTABILITY, HARDENED OPPOSITION, AND INCREASED USE OF COUNTER-REVOLUTIONARY FORCE. TRANSNATIONAL TERRORISM HAS BECOME A DISRUPTIVE RATHER THAN A SERIOUS DESTABLIZING FACTOR IN INTERNATIONAL RELATIONS BECAUSE IT HAS NOT ALTERED THE BASIC CONFIGURATION OF POWER. NONETHELESS, TERRORISM IS A DISTURBING POLITICAL PHENOMENON BECAUSE IT DEMONSTRATES THE EASE WITH WHICH SMALL GROUP VIOLENCE CAN EXPAND AND INTENSIFY. IT ALSO HAS THE POTENTIAL FOR EMBITTERING REGIONAL CONFLICT, SUCH AS IN THE MIDDLE EAST. ASSUMING THAT POLICYMAKING IS ESSENTIALLY A RATIONAL RESPONSE TO TERRORIST EVENTS, IMPORTANT FACTORS TO CONSIDER ARE THE NATURE OF A TERRORIST THREAT AND CONCURRENT POLICY PROBLEMS. POSSIBLE POLICY RESPONSES TO TERRORISM ARE SYMPATHY (ACTIVE SUPPORT), AMBIVALENCE, SUBMISSION, AND RESISTANCE. IN ORDER TO SELECT APPROPRIATE DETERRENT STRATEGIES, GOVERNMENTS MUST DISTINGUISH BETWEEN THE IMAGE AND THE REALITY OF TERRORIST GOALS. WHILE TERRORIST GROUPS HAVE NOT CAUSED DRAMATIC SHIFTS IN GOVERNMENT POLICIES OR POPULAR ATTITUDES, THEIR ACTIVITIES HAVE LED TO SUPERFICIAL COMPLIANCE WITH DEMANDS FROM THIRD-PARTY STATES AND MULTINATIONAL CORPORATIONS, INTERNATIONAL RECOGNITION, COUNTERVIOLENCE FROM STATES WHERE INTERNAL SECURITY IS ENDANGERED, AND IMITATION BY OTHER CRIMINAL OR POLITICAL MINORITY GROUPS. INTERNATIONAL ACTIVITIES AND TREATIES TO DEAL WITH TERRORISM ARE DISCUSSED. DATA ON POLICY RESPONSES TO TERRORISM ARE PROVIDED, AND REFERENCES ARE CITED. (DEP)