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Economic Causes Of Theft In 25 OECD Countries: Dynamic Panel Data Analysis

Year 2022, Volume: 5 Issue: 1, 115 - 137, 31.07.2022
https://doi.org/10.55065/intraders.1142732

Abstract

There are many reasons for crime, including biological, psychological, economic, and social. The reasons for the crime may vary according to the types of crime. While some types of crimes are mostly committed for economic reasons, many factors other than economic factors can be predominantly influential in committing some types of crimes. However, it can be thought that economic factors are practically based on most problems arising from social and psychological factors. For this reason, it is essential to investigate the economic causes of crime types. In this study context, the economic reasons for theft crime which is mostly committed for economic reasons, were investigated by the System Generalized Moments Method (GMM) for selected countries (25 OECD countries) that are members of the Organization for Economic Development and Cooperation. While determining the OECD member countries, the data set of all the variables (unemployment, Gini coefficient as an indicator of income inequality, consumer price index as an indicator of inflation, social expenditures, and population) included in the analysis was examined, and a standard analysis period (2013-2018) was determined according to these data. Thus, the effect of these variables on theft crime was investigated for the period 2013-2018. In the literature, economic variables were mostly used in the studies on the subject, but there were not many studies investigating the effect of the social expenditure variable on theft crime. For this reason, it is thought that the study will contribute to the literature. According to the system GMM analysis results, while unemployment, inflation (consumer price index), and the Gini coefficient positively affect theft crime, social expenditures and population variables have no effect.

References

  • Aaltonen, M.; Macdonald, J. M.; Martikainen, P. & Kivivuor, J. (2013). “Examining the Generality of the Unemployment Crime Association”, Amerikan Society of Criminology, 51(3), 561- 594.
  • Aksu, H. & Akkuş, Y. (2010). “Türkiye’de Mala Karşı Suçların Sosyoekonomik Belirleyicileri Üzerine Bir Deneme: Sınır Testi Yaklaşımı (1970- 2007)”, Sosyoekonomi,11(11), 191- 214.
  • Altındağ, D. T. (2011). “Crime and Unemployment: Evidence from Europe”, Auburn University Department of Economics Auburn Economics Working Paper Series, (13), 1-45.
  • Atems, B. (2020). “Identifying The Dynamic Effects of Income Inequality on Crime”, Oxford Bulletin of Economics and Statistics, 82(4), 751-782.
  • Baharom, A. H. & Habibullah, S. M. (2009). “Income, Unemployment and Crime: Panel Data Analysis on Selected European Countries”, 9th Global Conference on Business Economics, 1-11.
  • Baharom, A. H. & Habibullah, S. M. (2008). “Is Crime Cointegrated with Income and Unemployment?: A Panel Data Analysis on Selected European Countries”, Munich Personal RePEc Archive, (11927), 1- 10.
  • Baltagi, B. H. (2005). Econometric Analysis of Panel Data, John Wiley & Sons, Canada.
  • Bhorat, H.; Lilenstein, A.; Monnakgotl, J.; Thornton, A. & Van der Zee, K (2020). “Crime and Inequality in South Africa: Non-Linear Outcomes Under Extreme Inequality”, Development Policy Research Unit Working Paper 20200, 1-40.
  • Blundell, R. & Bond, S. (1998). “Initial Conditions and Moment Restrictions in Dynamic Panel Data Models”, Journal of Economics, 87(1): 115-143.
  • Boaitey, A. (2013). “Crime and Unemployment in Turbulent Times: A Canadian Perspective”. Research Gate, 1-18.
  • Buonanno, P.; Drago, F. & Galbiati, R. (2014). “Response of Crime to Unemployment: An International Comparison”, Journal of Contemporary Criminal Justice, 30(1), 29-40.
  • Carmichael, F. & Ward, R. (2001). “Male Unemployment and Crime in England and Wales”, Economics Letters, 73(1), 111–115.
  • Chamlin, M. B. & Cochran, J. K. (2000). “Unemployment, Economic Theory and Property Crime: A Note on Measurement”, Journal of Quantitative Criminology, 16(4), 443-455.
  • Dündar, Ö. (2017). Malvarlığına Karşı İşlenen Suçlar İle İşsizlik Arasındaki İlişkinin Mekansal Bağımlılığı: Türkiye Üzerine Bir Uygulama (Yayınlanmamış doktora tezi). Manisa Celal Bayar Üniversitesi, Sosyal Bilimler Enstitüsü.
  • Dündar, Ö. & Kesbiç, Y. C. (2019). “Türkiye’de Malvarlığına Karşı İşlenen Suçların Mekansal Bağımlılığı”, Anadolu Üniversitesi Sosyal Bilimler Dergisi, 19(2), 171-188.
  • Dündar, Ö. & Kesbiç, Y. C. (2020). “Malvarlığına Karşı İşlenen Suçların Suç Teorilerine Göre Mekansal Analizi”, Balıkesir Üniversitesi Sosyal Bilimler Enstitüsü Dergisi, 23(44), 911-936.
  • Edmark, K. (2003). “The Effects of Unemployment on Property Crime: Evidence From a Period of Unusually Large Swings in the Business Cycle”, Working Paper Series, 14, 1-27.
  • Edmark, K. (2005). “Unemployment and Crime: Is There a Connection?”, Journal of Economics, 107(2), 353–373.
  • Elliott, C. & Ellingworth, D. (1996). “The Relationship Between Unemployment and Crime A Cross-Sectional Analysis Employing the British Crime Survey 1992”, International Journal of Manpower, 17(6/7), 81-88.
  • Entorf, H. & Sieger, P. (2014). “Does the Link Between Unemployment and Crime Depend on the Crime Level? A Quantile Regression Approach” ,Forschungs institut Zur Zukunft der Arbeit Institute for the Study of Labor, Discussion Paper (8334), 2- 32.
  • European Statistical Office (Eurostat- European Statistics) (2022). https://ec.europa.eu/eurostat/web/main/data/database (Erişim tarihi: 05 Nisan 2022)
  • Fallahi, F.; Pourtaghi, H. & Rodriguez, G. (2012). “The Unemployment Rate, Unemployment Volatility and Crime”, International Journal of Social Economics, 39(6), 440-448.
  • Gillani, S. Y. M.; Khan, R. E. A. & Gill, A. R. (2011). “Unemployment and Property Crimes in Pakistan”, Asian Economic and Financial Review, 1(3), 125-135.
  • Gronqvist, H. (2011). “Youth Unemployment and Crime: New Lessons Exploring Longitudinal Register Data”, Swedish Institute for Social Research, Working Paper (7), 1- 37.
  • Hagan, F. E. (1991). Introduction to Criminology Theories, Methods and Criminal Behaviour, Nelson Hall Series in Sociology, Chicago.
  • Hipp, J. R. (2007). “Income İnequality, Race, And Place: Does The Distribution Of Race And Class Within Neighborhoods Affect Crime Rates?”, Criminology, 45(3), 665-697.
  • Ivaschenko, O.; Nivorozhkin, A. & Nivorozhkin, E. (2012). “The Role of Economic Crisis and Social Spending in Explaining Crime in Russia: Regional Panel Data Analysis”. Eastern European Economics, 50(4), 21-41.
  • Janko, Z. & G. Popli (2013). “Examining the Link Between Crime and Unemployment: A Time Series Analysis for Canada”, Sheffield Economic Research Paper Series, SERP Number (201300), 2- 20.
  • Johnson, R. S.; Kantor, S. & Fishback, P. V. (2007). “Striking At The Roots of Crime: The Impact of Welfare Spending on Crime During The Great Depression”, NBER Working Paper No. 12825, 2-43.
  • Maddah, M. (2013). “An Empirical Analysis of the Relationship Between Unemployment and Theft Crimes”, International Journal of Economics and Financial Issues, 3(1), 50-53.
  • Mccaghy, C. H.; Capron, T. A. & Jamieson, J. D. (2003). Deviant Behaviour Crime, Conflict and Interest Groups, Pearson Education, Boston.
  • Melick, M. D. (2003). “The Relationship Between Crime and Unemployment”, The Park Place Economist Article 13, 11(1), 30-36.
  • Narayan, P. K. & Smyth, R. (2004). “Crime Rates, Male Youth Unemployment and Real Income in Australia: Evidence From Granger Causality Tests”, Applied Economics, 36(18), 2079–2095.
  • Neumayer, E. (2005). “Inequality and Violent Crime: Evidence From Data on Robbery and Violent Theft”, Journal of Peace Research, 42(1), 101-112.
  • Nilsson, A. & Agell, J. (2003). “Crime, Unemployment and Labor Market Programs in Turbulent Times”, IFAU- Institute For Labour Market Policy Evaluation, Working Paper No (14), 1-31.
  • OECD (2022) OECD Data, https://data.oecd.org/ (05.04.2022)
  • Raphael, S. & Winter-Ebmer, R. (2001). “Identifying The Effect of Unemployment on Crime”, Journal of Law and Economics, 44(1), 259-283.
  • Roodman, D. (2006). “How To Do Xtabond2: An Introduction to Difference and System GMM in Stata”, Center Global Development, Working Paper 103: 1-44.
  • Rufrancos, H.; Power, M.; Pickett, K. E. & Wilkinson, R. (2013). “Income Inequality and Crime: A Review and Explanation of The Timeâ Series Evidence”, Social Crimonol, 1(1), 2-9.
  • Saridakis, G. & Spengler, H. (2009). Crime, Deterrence and Unemployment in Greece: A Panel Data Approach. Deutsches Institut für Wirtschafts Forschung, Discussion Papers (853), 2-9.
  • Speziale, N. (2014). “Does Unemployment Increase Crime?”, Evidence From Italian Provinces. Applied Economics Letters, 21(15), 1083-1089.
  • Sugiharti, L.; Esquivias, M. A.; Shaari, M. S.; Agustin, L. & Rohmawati, H. (2022). “Criminality and Income Inequality in Indonesia”, Social Sciences, 11(142), 2-19.
  • Tsushima, M. (1996). “Economic Structure and Crime: The Case of Japan. The Journal of Socio-Economics", 25(4), 497-515.
  • Worrall, J. L. (2005). “Reconsidering The Relationship Between Welfare Spending and Serious Crime: A Panel Data Analysis with Implications for Social Support Theory”, Justice Quarterly, 22(3), 364-391.
  • Wu, D. & Wu, Z. (2011). “Crime, Inequality and Unemployment in England and Wales”, Applied Economics, 44(29), 1- 28.
Year 2022, Volume: 5 Issue: 1, 115 - 137, 31.07.2022
https://doi.org/10.55065/intraders.1142732

Abstract

References

  • Aaltonen, M.; Macdonald, J. M.; Martikainen, P. & Kivivuor, J. (2013). “Examining the Generality of the Unemployment Crime Association”, Amerikan Society of Criminology, 51(3), 561- 594.
  • Aksu, H. & Akkuş, Y. (2010). “Türkiye’de Mala Karşı Suçların Sosyoekonomik Belirleyicileri Üzerine Bir Deneme: Sınır Testi Yaklaşımı (1970- 2007)”, Sosyoekonomi,11(11), 191- 214.
  • Altındağ, D. T. (2011). “Crime and Unemployment: Evidence from Europe”, Auburn University Department of Economics Auburn Economics Working Paper Series, (13), 1-45.
  • Atems, B. (2020). “Identifying The Dynamic Effects of Income Inequality on Crime”, Oxford Bulletin of Economics and Statistics, 82(4), 751-782.
  • Baharom, A. H. & Habibullah, S. M. (2009). “Income, Unemployment and Crime: Panel Data Analysis on Selected European Countries”, 9th Global Conference on Business Economics, 1-11.
  • Baharom, A. H. & Habibullah, S. M. (2008). “Is Crime Cointegrated with Income and Unemployment?: A Panel Data Analysis on Selected European Countries”, Munich Personal RePEc Archive, (11927), 1- 10.
  • Baltagi, B. H. (2005). Econometric Analysis of Panel Data, John Wiley & Sons, Canada.
  • Bhorat, H.; Lilenstein, A.; Monnakgotl, J.; Thornton, A. & Van der Zee, K (2020). “Crime and Inequality in South Africa: Non-Linear Outcomes Under Extreme Inequality”, Development Policy Research Unit Working Paper 20200, 1-40.
  • Blundell, R. & Bond, S. (1998). “Initial Conditions and Moment Restrictions in Dynamic Panel Data Models”, Journal of Economics, 87(1): 115-143.
  • Boaitey, A. (2013). “Crime and Unemployment in Turbulent Times: A Canadian Perspective”. Research Gate, 1-18.
  • Buonanno, P.; Drago, F. & Galbiati, R. (2014). “Response of Crime to Unemployment: An International Comparison”, Journal of Contemporary Criminal Justice, 30(1), 29-40.
  • Carmichael, F. & Ward, R. (2001). “Male Unemployment and Crime in England and Wales”, Economics Letters, 73(1), 111–115.
  • Chamlin, M. B. & Cochran, J. K. (2000). “Unemployment, Economic Theory and Property Crime: A Note on Measurement”, Journal of Quantitative Criminology, 16(4), 443-455.
  • Dündar, Ö. (2017). Malvarlığına Karşı İşlenen Suçlar İle İşsizlik Arasındaki İlişkinin Mekansal Bağımlılığı: Türkiye Üzerine Bir Uygulama (Yayınlanmamış doktora tezi). Manisa Celal Bayar Üniversitesi, Sosyal Bilimler Enstitüsü.
  • Dündar, Ö. & Kesbiç, Y. C. (2019). “Türkiye’de Malvarlığına Karşı İşlenen Suçların Mekansal Bağımlılığı”, Anadolu Üniversitesi Sosyal Bilimler Dergisi, 19(2), 171-188.
  • Dündar, Ö. & Kesbiç, Y. C. (2020). “Malvarlığına Karşı İşlenen Suçların Suç Teorilerine Göre Mekansal Analizi”, Balıkesir Üniversitesi Sosyal Bilimler Enstitüsü Dergisi, 23(44), 911-936.
  • Edmark, K. (2003). “The Effects of Unemployment on Property Crime: Evidence From a Period of Unusually Large Swings in the Business Cycle”, Working Paper Series, 14, 1-27.
  • Edmark, K. (2005). “Unemployment and Crime: Is There a Connection?”, Journal of Economics, 107(2), 353–373.
  • Elliott, C. & Ellingworth, D. (1996). “The Relationship Between Unemployment and Crime A Cross-Sectional Analysis Employing the British Crime Survey 1992”, International Journal of Manpower, 17(6/7), 81-88.
  • Entorf, H. & Sieger, P. (2014). “Does the Link Between Unemployment and Crime Depend on the Crime Level? A Quantile Regression Approach” ,Forschungs institut Zur Zukunft der Arbeit Institute for the Study of Labor, Discussion Paper (8334), 2- 32.
  • European Statistical Office (Eurostat- European Statistics) (2022). https://ec.europa.eu/eurostat/web/main/data/database (Erişim tarihi: 05 Nisan 2022)
  • Fallahi, F.; Pourtaghi, H. & Rodriguez, G. (2012). “The Unemployment Rate, Unemployment Volatility and Crime”, International Journal of Social Economics, 39(6), 440-448.
  • Gillani, S. Y. M.; Khan, R. E. A. & Gill, A. R. (2011). “Unemployment and Property Crimes in Pakistan”, Asian Economic and Financial Review, 1(3), 125-135.
  • Gronqvist, H. (2011). “Youth Unemployment and Crime: New Lessons Exploring Longitudinal Register Data”, Swedish Institute for Social Research, Working Paper (7), 1- 37.
  • Hagan, F. E. (1991). Introduction to Criminology Theories, Methods and Criminal Behaviour, Nelson Hall Series in Sociology, Chicago.
  • Hipp, J. R. (2007). “Income İnequality, Race, And Place: Does The Distribution Of Race And Class Within Neighborhoods Affect Crime Rates?”, Criminology, 45(3), 665-697.
  • Ivaschenko, O.; Nivorozhkin, A. & Nivorozhkin, E. (2012). “The Role of Economic Crisis and Social Spending in Explaining Crime in Russia: Regional Panel Data Analysis”. Eastern European Economics, 50(4), 21-41.
  • Janko, Z. & G. Popli (2013). “Examining the Link Between Crime and Unemployment: A Time Series Analysis for Canada”, Sheffield Economic Research Paper Series, SERP Number (201300), 2- 20.
  • Johnson, R. S.; Kantor, S. & Fishback, P. V. (2007). “Striking At The Roots of Crime: The Impact of Welfare Spending on Crime During The Great Depression”, NBER Working Paper No. 12825, 2-43.
  • Maddah, M. (2013). “An Empirical Analysis of the Relationship Between Unemployment and Theft Crimes”, International Journal of Economics and Financial Issues, 3(1), 50-53.
  • Mccaghy, C. H.; Capron, T. A. & Jamieson, J. D. (2003). Deviant Behaviour Crime, Conflict and Interest Groups, Pearson Education, Boston.
  • Melick, M. D. (2003). “The Relationship Between Crime and Unemployment”, The Park Place Economist Article 13, 11(1), 30-36.
  • Narayan, P. K. & Smyth, R. (2004). “Crime Rates, Male Youth Unemployment and Real Income in Australia: Evidence From Granger Causality Tests”, Applied Economics, 36(18), 2079–2095.
  • Neumayer, E. (2005). “Inequality and Violent Crime: Evidence From Data on Robbery and Violent Theft”, Journal of Peace Research, 42(1), 101-112.
  • Nilsson, A. & Agell, J. (2003). “Crime, Unemployment and Labor Market Programs in Turbulent Times”, IFAU- Institute For Labour Market Policy Evaluation, Working Paper No (14), 1-31.
  • OECD (2022) OECD Data, https://data.oecd.org/ (05.04.2022)
  • Raphael, S. & Winter-Ebmer, R. (2001). “Identifying The Effect of Unemployment on Crime”, Journal of Law and Economics, 44(1), 259-283.
  • Roodman, D. (2006). “How To Do Xtabond2: An Introduction to Difference and System GMM in Stata”, Center Global Development, Working Paper 103: 1-44.
  • Rufrancos, H.; Power, M.; Pickett, K. E. & Wilkinson, R. (2013). “Income Inequality and Crime: A Review and Explanation of The Timeâ Series Evidence”, Social Crimonol, 1(1), 2-9.
  • Saridakis, G. & Spengler, H. (2009). Crime, Deterrence and Unemployment in Greece: A Panel Data Approach. Deutsches Institut für Wirtschafts Forschung, Discussion Papers (853), 2-9.
  • Speziale, N. (2014). “Does Unemployment Increase Crime?”, Evidence From Italian Provinces. Applied Economics Letters, 21(15), 1083-1089.
  • Sugiharti, L.; Esquivias, M. A.; Shaari, M. S.; Agustin, L. & Rohmawati, H. (2022). “Criminality and Income Inequality in Indonesia”, Social Sciences, 11(142), 2-19.
  • Tsushima, M. (1996). “Economic Structure and Crime: The Case of Japan. The Journal of Socio-Economics", 25(4), 497-515.
  • Worrall, J. L. (2005). “Reconsidering The Relationship Between Welfare Spending and Serious Crime: A Panel Data Analysis with Implications for Social Support Theory”, Justice Quarterly, 22(3), 364-391.
  • Wu, D. & Wu, Z. (2011). “Crime, Inequality and Unemployment in England and Wales”, Applied Economics, 44(29), 1- 28.
There are 45 citations in total.

Details

Primary Language English
Subjects Economics
Journal Section Articles
Authors

Özlem Dündar 0000-0002-3091-1433

Early Pub Date July 29, 2022
Publication Date July 31, 2022
Submission Date July 8, 2022
Acceptance Date July 29, 2022
Published in Issue Year 2022 Volume: 5 Issue: 1

Cite

APA Dündar, Ö. (2022). Economic Causes Of Theft In 25 OECD Countries: Dynamic Panel Data Analysis. InTraders International Trade Academic Journal, 5(1), 115-137. https://doi.org/10.55065/intraders.1142732