‘Terrorism'' is a morally loaded and normative term and has historically been used in a pejorative sense to identify, insult and accuse the ‘terrorist'' with illegitimacy of idea and action. This has given the word extreme political power which has been used to denounce and ‘outlaw'' opposing or alternative ideologies at the economic, religious or political levels. Such illegitimacy leads to a cessation of identity, including the identity of being human, and is a precursor to war, cruelty and violence and not for security, peace, democracy or development as the case is made out to be. Given this fact, it is argued that the use of this word in our times today is no different and is leading to the creation of more authoritarian structures and illiberal democracies supported with increasing use of might and power to extract a respect for authority and political legitimacy. Such an approach holds the danger of further escalation of violence. An alternative approach in understanding terrorism could be to see it as a violent reaction against such constructed identities and fiercely contested notions of unitary models of democracy and economic development.