Crime, Unemployment and Labor Market Programs in Turbulent Times
Anna Nilsson () and
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Anna Nilsson: Dept. of Economics, Stockholm University, Postal: Department of Economics, Stockholm University, S-106 91 Stockholm, Sweden, http://www.ne.su.se
No 2003:13, Research Papers in Economics from Stockholm University, Department of Economics
We exploit the exceptional variation in municipality-level unemployment and spending on labor market programs in Sweden during the 1990s to identify the impact of unemployment and programs on crime. We identify a statistically significant effect of unemployment on the incidence of overall crime, burglary, auto-theft and drug possession. A calculation suggests that the sharp reduction in unemployment during the later 1990s may have reduced burglary and auto-theft with 15 and 20 percent, respectively. After addressing several specification issues, we conclude that there is at best weak evidence that labor market programs general ones and those specifically targeted to the young help to reduce crime.
Keywords: crime; unemployment; labor market programs; panel data (search for similar items in EconPapers)
JEL-codes: J00 K40 (search for similar items in EconPapers)
Pages: 36 pages
New Economics Papers: this item is included in nep-lab, nep-law and nep-ure
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Working Paper: Crime, unemployment and labor market programs in turbulent times (2003)
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Persistent link: https://EconPapers.repec.org/RePEc:hhs:sunrpe:2003_0013
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