Search for a theory of organized crimes

An Empirical Analysis of the Public Spending Decomposition on Organized Crime

“…Thus, the positive sign of the coefficient upon the GDP is as expected. An increase of employment is expected to lower the level of crime (Chang, 2013). But the results show the opposite effect for the employment rate, that is a positive sign.…”

“…First, the choice to start a business activity does not include the expected cost that could be required by the criminal associations, for example, because the entrepreneur does not know if he will receive a protection supply and how much the protection cost will be, and, hence, the perception of the extent of organized crime may be low; second, as not all the entrepreneurs accept the protection provided by the criminal associations, there can be an excess of supply (Paoli et al, 2014). The rationale of a positive effect of education on organized crime can be found if one considers that criminal associations need to recruit educated individuals in order to survive and develop in an ever dynamic environment, both with regard to the way they formulate their business strategies and by the way they keep them secret from law enforcement agencies (Chang, 2013;Neanidis et al, 2014). The positive sign of the coefficient upon urbanization finds reasons in the fact that there is more crime in more populated areas than in less populated or rural areas (Glaeser et al, 1999).…”

Optimal Drug Policy in Low‐Income Neighborhoods

“…Basic economic laws of supply and demand say that as long as there is a demand for a product, a market will make that product available" (Krause 2009). 7 See also Burdett, Lagos, and Wright (2004), Huang, Laing, and Wang (2004), Engelhardt, Rocheteau, and Rupert (2008) and Chang, Lu, and Wang (2009) for other search-theoretic models of crime, and Becker, Murphy, and Grossman (2006) on the consequences of inelastic drug demand. of a neighborhood decide whether to participate in the legitimate labor market or engage in the drug trade within an occupational choice framework.…”

“…See also Burdett, Lagos, and Wright (), Huang, Laing, and Wang (), Engelhardt, Rocheteau, and Rupert () and Chang, Lu, and Wang () for other search‐theoretic models of crime, and Becker, Murphy, and Grossman (2006) on the consequences of inelastic drug demand.…”

Crime, Search, and Ex‐offenders’ Accessibility to Labor Markets

“…Engelhardt et al (2008) show the optimal contract scheme that determines wage and upfront payment simultaneously when individuals have the option to commit crime. A search model has also been used to address other factors that affect crime, such as education and organized crime (Huang et al, 2004;Chang et al, 2013). However, no theoretical research has thus far discussed the relationship between crime and social attitudes toward offending.…”