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Development and validation of scientific indicators of the relationship between criminality, social cohesion and economic performance

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  • Entorf, Horst
  • Spengler, Hannes

Abstract

The study intends to contribute to a better understanding of the interactions between criminality, economic performance and social cohesion. We try to achieve this aim by evaluating the existing economic and criminological research and by carrying out own empirical investigation on the basis of international panel data sets from different levels of regional aggregation. Our empirical results with respect to the causes of crime clearly reveal the crime reducing potential of family cohesion and the link between crime and the labour market. Furthermore, we find that higher wealth is associated with higher rates of property crime and of drug-related offences. Drug offences themselves turn out to be robust factors of property crimes. Compared to studies assessing the causes of crime, investigations on its consequences are relatively rare. In our analysis, we investigate the impact of crime on economic performance. We find evidence that employment as well as GDP growth rates are negatively affected by the regional incidence of criminality.

Suggested Citation

  • Entorf, Horst & Spengler, Hannes, 2000. "Development and validation of scientific indicators of the relationship between criminality, social cohesion and economic performance," ZEW Dokumentationen 00-05, ZEW - Leibniz Centre for European Economic Research.
    • Handle: RePEc:zbw:zewdok:0005
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    References listed on IDEAS

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    1. Jenny Williams & Robin C. Sickles, 1998. "On the Role of Social Capital in Youth Crime: A Dynamic Structural Approach," School of Economics and Public Policy Working Papers 1998-02, University of Adelaide, School of Economics and Public Policy.
    2. Tadashi Yamada & Tetsuji Yamada & Johan M. Kang, 1991. "Crime Rates Versus Labor Market Conditions; Theory and Time-Series Evidence," NBER Working Papers 3801, National Bureau of Economic Research, Inc.
    3. Zhang, Junsen, 1997. "The Effect of Welfare Programs on Criminal Behavior: A Theoretical and Empirical Analysis," Economic Inquiry, Western Economic Association International, vol. 35(1), pages 120-137, January.
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    Cited by:

    1. Christina Laspa, 2015. "Do the economic factors affect criminality? Evidence from Greece, 1991–2010," European Journal of Law and Economics, Springer, vol. 39(1), pages 107-118, February.
    2. Entorf, Horst & Spengler, Hannes, 2000. "Criminality, social cohesion and economic performance," Publications of Darmstadt Technical University, Institute for Business Studies (BWL) 14296, Darmstadt Technical University, Department of Business Administration, Economics and Law, Institute for Business Studies (BWL).
    3. Lindvall, Lars, 2003. "Does Public Spending on Youths Affect Crime Rates?," Working Paper Series 2004:3, Uppsala University, Department of Economics.

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    More about this item

    Keywords

    Crime; socio-economic factors; demographics; European panel data;
    All these keywords.

    JEL classification:

    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law

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