Re: Two issues here.
First define "terrorism". Seriously. You can't.
Of course you can.
It's an approach taken by a minority who cannot, through persuasion or direct force, achieve their aims. They therefore attempt to scare (terrorize) ordinary people so much that those people do what the minority wants, out of fear of the consequences.
There aren't enough people in organizations like ISIL to actually destroy, every restaurant in Paris, or to bankrupt every airline in the US, but attack enough restaurants or planes and people will stop using them, which achives the same end result. Banning encryption plays into their hands, since it limits people's freedom and makes them wary of their governments, which is the aim of groups like ISIL.
Equally, or course, there is no way in a free society to prevent all such acts, even the most extreme police state can't manage that, so the only defence against terrorism is courage. People have to realize that they are in reality very unlikely to be hurt by any terrorist attack, and have to carry on normal life as much as possible, just as we did in N.Ireland and other parts of the UK for 30-odd years.
Politicians, of course, will not accept this. They are supposed to be "in charge", and certainly want to be, so they have to be seen to be doing something. Since there is nothing practical they can do, they invent plausible stuff instead.