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Employment and Earnings of Men at High Risk of Gun Violence

Author

Listed:
  • Max Kapustin
  • Monica P. Bhatt
  • Sara B. Heller
  • Marianne Bertrand
  • Christopher Blattman

Abstract

Since Becker (1968), economists have modeled crime as resulting from higher returns to criminal activity than legal work. Yet contemporary employment data for people engaged in crime is scarce. We surveyed men at extreme risk of gun violence in Chicago about their work in the formal, informal, and criminal sectors. Noncriminal work is common. Two-thirds of respondents specialize solely in the criminal or noncriminal sectors, both earning about minimum wage at the median. Those who mix across sectors typically earn higher wages. We describe workers by type to demonstrate how better understanding sectoral specialization could inform program design.

Suggested Citation

  • Max Kapustin & Monica P. Bhatt & Sara B. Heller & Marianne Bertrand & Christopher Blattman, 2024. "Employment and Earnings of Men at High Risk of Gun Violence," AEA Papers and Proceedings, American Economic Association, vol. 114, pages 58-64, May.
  • Handle: RePEc:aea:apandp:v:114:y:2024:p:58-64
    DOI: 10.1257/pandp.20241083
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    File URL: https://doi.org/10.3886/E199264V1
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    More about this item

    JEL classification:

    • E26 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Informal Economy; Underground Economy
    • J22 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Time Allocation and Labor Supply
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • J46 - Labor and Demographic Economics - - Particular Labor Markets - - - Informal Labor Market
    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law

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