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La delincuencia y su efecto sobre el crecimiento económico. El caso de México
[Crime and Economic Growth. The case of Mexico]

Author

Listed:
  • Lozano-Cortés, René
  • Cabrera-Castellanos, Luis F.
  • Lozano-Cortés, Maribel

Abstract

In this paper, we made a brief review of the theory that analyzes the interaction between crime and economic growth, then we present two indices of insecurity for Mexico using the principal component factor analysis. An index called national public insecurity which refers to federal crimes (drug trafficking, conspiracy, etc.) And a second index, the index of private insecurity, based on common law crimes (offenses against property of the people, etc..). We describe the behavior of both indexes for the 32 states for the years 1997, 2005 and 2008. Additionally, we show an economic growth model, which incorporates the model of Barro (1990), which includes government spending financed by taxes. In the second part of this section we built two econometric models to analyze the effect that crime rates over investment and income.

Suggested Citation

  • Lozano-Cortés, René & Cabrera-Castellanos, Luis F. & Lozano-Cortés, Maribel, 2012. "La delincuencia y su efecto sobre el crecimiento económico. El caso de México [Crime and Economic Growth. The case of Mexico]," MPRA Paper 39678, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:39678
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    References listed on IDEAS

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    1. Romer, Paul M, 1986. "Increasing Returns and Long-run Growth," Journal of Political Economy, University of Chicago Press, vol. 94(5), pages 1002-1037, October.
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    3. Richard B. Freeman, 1996. "Why Do So Many Young American Men Commit Crimes and What Might We Do about It?," Journal of Economic Perspectives, American Economic Association, vol. 10(1), pages 25-42, Winter.
    4. Robert M. Solow, 1956. "A Contribution to the Theory of Economic Growth," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 70(1), pages 65-94.
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    6. Lloyd-Ellis, Huw & Marceau, Nicolas, 2003. "Endogenous insecurity and economic development," Journal of Development Economics, Elsevier, vol. 72(1), pages 1-29, October.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Economic Growth; Crime; Mexico;
    All these keywords.

    JEL classification:

    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth
    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • O54 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Latin America; Caribbean

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