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Does poverty lead to crime? Evidence from the United States of America

Does poverty lead to crime? Evidence from the United States of America Economic hardship and crime is always a debatable issue in the political economy literature. Some authors define poverty leads to crime some are completely opposite. The purpose of this paper is to find out the impact of poverty on crime in the USA.Design/methodology/approachUsing time series data of USA over the period from 1965 to 2016, this study applies autoregressive distributed lag approach to identify the effect of poverty on crime.FindingsThe outcomes confirm a positive co-integrating relationship between poverty and property crime. It can be argued that poverty ultimately leads property crime in long run in the USA. However, unemployment and GDP exhibit neither long-run nor short-run relationship with property crime and they are not cointegrated for the calculated period.Research limitations/implicationsThe subject of this paper helps to explain and analyze the nexus between poverty and crime in the USA.Practical implicationsGovernment and policymakers should focus more on poverty rather than unemployment alone to control property crime.Originality/valueThis study attempts to identify the consequences of economic hardship and poverty on the crime in the advanced economy like USA. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png International Journal of Social Economics Emerald Publishing

Does poverty lead to crime? Evidence from the United States of America

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References (55)

Publisher
Emerald Publishing
Copyright
© Emerald Publishing Limited
ISSN
0306-8293
DOI
10.1108/ijse-04-2017-0167
Publisher site
See Article on Publisher Site

Abstract

Economic hardship and crime is always a debatable issue in the political economy literature. Some authors define poverty leads to crime some are completely opposite. The purpose of this paper is to find out the impact of poverty on crime in the USA.Design/methodology/approachUsing time series data of USA over the period from 1965 to 2016, this study applies autoregressive distributed lag approach to identify the effect of poverty on crime.FindingsThe outcomes confirm a positive co-integrating relationship between poverty and property crime. It can be argued that poverty ultimately leads property crime in long run in the USA. However, unemployment and GDP exhibit neither long-run nor short-run relationship with property crime and they are not cointegrated for the calculated period.Research limitations/implicationsThe subject of this paper helps to explain and analyze the nexus between poverty and crime in the USA.Practical implicationsGovernment and policymakers should focus more on poverty rather than unemployment alone to control property crime.Originality/valueThis study attempts to identify the consequences of economic hardship and poverty on the crime in the advanced economy like USA.

Journal

International Journal of Social EconomicsEmerald Publishing

Published: Sep 25, 2018

Keywords: USA; Poverty; ARDL; Property crime

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