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RACIAL BELIEFS, LOCATION, AND THE CAUSES OF CRIME

Thierry Verdier and Yves Zenou

International Economic Review, 2004, vol. 45, issue 3, 731-760

Abstract: This article provides a unified explanation for why blacks commit more crime, are located in poorer neighborhoods, and receive lower wages than whites. If everybody believes that blacks are more criminal than whites-even if there is no basis for this-then blacks are offered lower wages and, as a result, locate further away from jobs. Distant residence increases even more the black-white wage gap because of more tiredness and higher commuting costs. Blacks have thus a lower opportunity cost of committing crime and become indeed more criminal than whites. Therefore, beliefs are self-fulfilling. Copyright 2004 by the Economics Department Of The University Of Pennsylvania And Osaka University Institute Of Social And Economic Research Association.

Date: 2004
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Working Paper: Racial Beliefs, Location and the Causes of Crime (2003) Downloads
Working Paper: Racial Beliefs, Location And The Causes Of Crime (2000) Downloads
Working Paper: Racial Beliefs, Location and the Causes of Crime (2000)
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