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ethics
1.10 : To help counter terrorism, many countries are planning or have developed computer systems to track large numbers of their citizens and their actions. Clearly this has privacy implications. Discuss the ethics of working on the development of this type of system.

By working on this type of citizen monitoring system several of the clauses above may be breached.
This is somewhat dependent on whether or not the citizens would like to be monitored and whether they agree such a system would be in their best interest, as well as your own thoughts on the matter. It would seem more likely that the citizens would not be in favor of such a system - and therefore, according to the clauses above, your actions potentially unethical.

Discuss the ethics of developing a computer system that track large numbers of their citizens and thair actions?

There are no ethics involved in it. It is already in place. Cell phones are just GPS transmitters and credit card transactions do a pretty good job of showing what a person is doing. Not paranoid, just the way things are.

Software development tool
To help counter terrorism, many countries are planning the development of computer systems that track large numbers of their citizens and their actions. Clearly this has privacy implications. Discuss the ethics of developing this type of system.

Ethics is a concern of humans who have freedom of choice. Ethics is about individual choice: When faced with alternative courses of action, what is the correct moral choice? What are the main features of ethical choice?

Software engineers have wider responsibilities on systems development than the mere application of their technical skills. Ethically, an engineer should respect the confidentiality of the public irrespective of whether or not a formal confidentiality agreement has been undertaken.

Developing computer systems to counter terrorism by tracking citizens of a country and their actions has privacy implications.

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