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Organized crime and public spending: a panel data analysis

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  • Maria Berrittella

    (Università degli Studi di Palermo)

Abstract

The aim of this paper is to investigate, empirically, what components of public spending imply a decreasing effect on organized crime and what components create opportunities for organized crime, discussing also the role of government efficiency. Using a panel data analysis, the results show a strikingly consistent pattern for the EU Member States. Organized crime mainly operates in the distribution of government spending for local public goods and public provision of private services. There is a decreasing effect on organized crime of the public expenditure devoted to education and social policy. Government efficiency in public spending is beneficial to limit the opportunities of the organized crime.

Suggested Citation

  • Maria Berrittella, 2018. "Organized crime and public spending: a panel data analysis," Economics of Governance, Springer, vol. 19(2), pages 119-140, May.
    • Handle: RePEc:spr:ecogov:v:19:y:2018:i:2:d:10.1007_s10101-018-0206-3
    DOI: 10.1007/s10101-018-0206-3
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    More about this item

    Keywords

    Government efficiency; Organized crime; Panel data regression; Public expenditure;
    All these keywords.

    JEL classification:

    • C13 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Estimation: General
    • H50 - Public Economics - - National Government Expenditures and Related Policies - - - General
    • K40 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - General
    • P37 - Political Economy and Comparative Economic Systems - - Socialist Institutions and Their Transitions - - - Legal

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