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Synopsis The origin of the phenomenon of terrorism is unclear, not a recent one, it is older than the ancient civilizations of Greece and Rome. Human history has been replete with varied terrorist activities. Terrorism is the use or threat of violence against small numbers to put large numbers in fear; or as well put by an ancient Chinese Philosopher: 'Kill One, Frighten 1000'. Terrorism has become a universal phenomenon in contemporary world. Even the global power like America is living under constant fear of terrorism. No country is beyond the reach of terrorists. By manipulating fear in a special and unique way, terrorists have been able to affect political as well as social behaviour in a fashion totally disproportionate to their numbers. Rising population, increased poverty and scarcity of resources, racial tension, inflation and unemployment, increased tension between the 'have' and 'have-not' nations, waves of refugees shoved about by wars and repression, immigrants moving from poorer state to wealthy ones--often bringing along the conflicts of their home countries -- sometime causing resentment among native citizens, rapid urbanization, the disintegration of traditional structure, the emergence of single issue groups, the rise of aggressive fundamentalist religious groups or religious cults, economic disparities, regional imbalance and state sponsored violence are the most important causes of mushrooming of terrorism in the contemporary world. This book provides comprehensive matter to the readers for understanding the problem of terrorism and its effects on contemporary geo-politics in the era of liberalization, privatization and globalization.