DHS defines risk by three principal variables: threat, or the likelihood of a type of attack that might be attempted, vulnerability, or the likelihood that an attacker would succeed with a particular attack type, and consequence, or the potential impact of a particular attack. The risk model used to allocate HSGP funds includes both asset-based and geographically-based terrorist risk calculations. DHS combines these complementary risk calculations to produce an estimate of the relative risk of terrorism faced by a given area.

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