IDEAS home Printed from https://ideas.repec.org/a/bla/coecpo/v21y2003i4p525-538.html
   My bibliography  Save this article

Identifying Efficient Crime‐Combating Policies by VAR Models: The Example of Switzerland

Author

Listed:
  • Patricia Funk
  • Peter Kugler

Abstract

Current research suggests that the crime‐combating instrument sentence probability is more effective than sentence severity. However, the focus of the simultaneous (or very short‐run) impact of the law enforcement policy on crime impedes a comparison of these two instruments with respect to their long‐term effectiveness. With Swiss data, this article investigates the dynamic interrelationships between enforcement policy and crime and finds that overall, sentence severity is about the same effective as sentence probability. Furthermore, the authors show how the VAR‐modeling technique can be exploited to conveniently distinguish between deterrence and incapacitation effects. More concrete recommendations toward a cost‐effective crime‐reduction policy can be derived. (JEL C32, K42)

Suggested Citation

  • Patricia Funk & Peter Kugler, 2003. "Identifying Efficient Crime‐Combating Policies by VAR Models: The Example of Switzerland," Contemporary Economic Policy, Western Economic Association International, vol. 21(4), pages 525-538, October.
  • Handle: RePEc:bla:coecpo:v:21:y:2003:i:4:p:525-538
    DOI: 10.1093/cep/byg030
    as

    Download full text from publisher

    File URL: https://doi.org/10.1093/cep/byg030
    Download Restriction: no

    File URL: https://libkey.io/10.1093/cep/byg030?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Gary S. Becker, 1974. "Crime and Punishment: An Economic Approach," NBER Chapters, in: Essays in the Economics of Crime and Punishment, pages 1-54, National Bureau of Economic Research, Inc.
    2. Bernanke, Ben S., 1986. "Alternative explanations of the money-income correlation," Carnegie-Rochester Conference Series on Public Policy, Elsevier, vol. 25(1), pages 49-99, January.
    3. H. Naci Mocan & Hope Corman, 2000. "A Time-Series Analysis of Crime, Deterrence, and Drug Abuse in New York City," American Economic Review, American Economic Association, vol. 90(3), pages 584-604, June.
    4. Samuel L. Myers, 1983. "Estimating the Economic Model of Crime: Employment Versus Punishment Effects," The Quarterly Journal of Economics, Oxford University Press, vol. 98(1), pages 157-166.
    5. Cornwell, Christopher & Trumbull, William N, 1994. "Estimating the Economic Model of Crime with Panel Data," The Review of Economics and Statistics, MIT Press, vol. 76(2), pages 360-366, May.
    6. Steven D. Levitt, 1998. "Juvenile Crime and Punishment," Journal of Political Economy, University of Chicago Press, vol. 106(6), pages 1156-1185, December.
    7. Sims, Christopher A, 1980. "Macroeconomics and Reality," Econometrica, Econometric Society, vol. 48(1), pages 1-48, January.
    8. Ann Dryden Witte, 1980. "Estimating the Economic Model of Crime With Individual Data," The Quarterly Journal of Economics, Oxford University Press, vol. 94(1), pages 57-84.
    9. Perron, Pierre, 1989. "The Great Crash, the Oil Price Shock, and the Unit Root Hypothesis," Econometrica, Econometric Society, vol. 57(6), pages 1361-1401, November.
    10. Corman, Hope & Joyce, Theodore & Lovitch, Norman, 1987. "Crime, Deterrence and the Business Cycle in New York City: A VAR Approach," The Review of Economics and Statistics, MIT Press, vol. 69(4), pages 695-700, November.
    11. Helen Tauchen & Ann Dryden Witte & Harriet Griesinger, 1993. "Criminal Deterrence: Revisiting the Issue with a Birth Cohort," NBER Working Papers 4277, National Bureau of Economic Research, Inc.
    12. Viren, Matti, 1994. "A test of an economics of crime model," International Review of Law and Economics, Elsevier, vol. 14(3), pages 363-370, September.
    13. Ehrlich, Isaac, 1973. "Participation in Illegitimate Activities: A Theoretical and Empirical Investigation," Journal of Political Economy, University of Chicago Press, vol. 81(3), pages 521-565, May-June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Vujić, Sunčica & Commandeur, Jacques J.F. & Koopman, Siem Jan, 2016. "Intervention time series analysis of crime rates: The case of sentence reform in Virginia," Economic Modelling, Elsevier, vol. 57(C), pages 311-323.
    2. Ferda Halicioglu, 2012. "Temporal causality and the dynamics of crime in Turkey," International Journal of Social Economics, Emerald Group Publishing Limited, vol. 39(9), pages 704-720, July.
    3. Atems, Bebonchu & Blankenau, William, 2021. "The ‘time-release’, crime-reducing effects of education spending," Economics Letters, Elsevier, vol. 209(C).
    4. Justina A.V. Fischer, 2005. "The Impact of Direct Democracy on Crime: Is the Median Voter Boundedly Rational?," University of St. Gallen Department of Economics working paper series 2005 2005-14, Department of Economics, University of St. Gallen.
    5. Vujić Sunčica & Koopman Siem Jan & Commandeur J.F., 2012. "Economic Trends and Cycles in Crime: A Study for England and Wales," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 232(6), pages 652-677, December.
    6. Nikolaos Dritsakis & Alexandros Gkanas, 2009. "The effect of socio-economic determinants on crime rates: An empirical research in the case of Greece with cointegration analysis," International Journal of Business and Economic Sciences Applied Research (IJBESAR), International Hellenic University (IHU), Kavala Campus, Greece (formerly Eastern Macedonia and Thrace Institute of Technology - EMaTTech), vol. 2(2), pages 51-64, December.
    7. Yu Liu & Thomas M. Fullerton Jr. & Nathan J. Ashby, 2013. "Assessing The Impacts Of Labor Market And Deterrence Variables On Crime Rates In Mexico," Contemporary Economic Policy, Western Economic Association International, vol. 31(4), pages 669-690, October.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. H. Naci Mocan & Daniel I. Rees, 2005. "Economic Conditions, Deterrence and Juvenile Crime: Evidence from Micro Data," American Law and Economics Review, Oxford University Press, vol. 7(2), pages 319-349.
    2. Tadashi Yamada, 1985. "The Crime Rate and the Condition of the Labor Market: A Vector Autoregressive Model," NBER Working Papers 1782, National Bureau of Economic Research, Inc.
    3. H. Naci Mocan & Hope Corman, 2000. "A Time-Series Analysis of Crime, Deterrence, and Drug Abuse in New York City," American Economic Review, American Economic Association, vol. 90(3), pages 584-604, June.
    4. H. Naci Mocan & Stephen C. Billups & Jody Overland, 2005. "A Dynamic Model of Differential Human Capital and Criminal Activity," Economica, London School of Economics and Political Science, vol. 72(288), pages 655-681, November.
    5. Paresh Kumar Narayan & Ingrid Nielsen & Russell Smyth, 2010. "Is There a Natural Rate of Crime?," American Journal of Economics and Sociology, Wiley Blackwell, vol. 69(2), pages 759-782, April.
    6. Entorf, Horst & Spengler, Hannes, 2008. "Is Being 'Soft on Crime' the Solution to Rising Crime Rates? Evidence from Germany," IZA Discussion Papers 3710, Institute of Labor Economics (IZA).
    7. Altindag, Duha T., 2012. "Crime and unemployment: Evidence from Europe," International Review of Law and Economics, Elsevier, vol. 32(1), pages 145-157.
    8. Hope Corman & H. Naci Mocan, 1996. "A Time-Series Analysis of Crime and Drug Use in New York City," NBER Working Papers 5463, National Bureau of Economic Research, Inc.
    9. Steven N. Durlauf & Daniel S. Nagin, 2010. "The Deterrent Effect of Imprisonment," NBER Chapters, in: Controlling Crime: Strategies and Tradeoffs, pages 43-94, National Bureau of Economic Research, Inc.
    10. Spengler, Hannes, 2005. "Eine panelökonometrische Überprüfung der ökonomischen Theorie der Kriminalität mit deutschen Bundesländerdaten," Darmstadt Discussion Papers in Economics 150, Darmstadt University of Technology, Department of Law and Economics.
    11. Lance Lochner, 2007. "Individual Perceptions of the Criminal Justice System," American Economic Review, American Economic Association, vol. 97(1), pages 444-460, March.
    12. Eide, Erling & Rubin, Paul H. & Shepherd, Joanna M., 2006. "Economics of Crime," Foundations and Trends(R) in Microeconomics, now publishers, vol. 2(3), pages 205-279, December.
    13. Loureiro, Paulo R.A. & Mendonça, Mário Jorge Cardoso de & Moreira, Tito Belchior Silva & Sachsida, Adolfo, 2009. "Crime, economic conditions, social interactions and family heritage," International Review of Law and Economics, Elsevier, vol. 29(3), pages 202-209, September.
    14. Libor Dušek, 2012. "Crime, Deterrence, and Democracy," German Economic Review, Verein für Socialpolitik, vol. 13(4), pages 447-469, November.
    15. repec:eee:labchp:v:3:y:1999:i:pc:p:3529-3571 is not listed on IDEAS
    16. Ishita Chatterjee & Ranjan Ray, 2009. "Crime, Corruption and Institutions," Monash Economics Working Papers 20-09, Monash University, Department of Economics.
    17. Povilas Lastauskas & Eirini Tatsi, 2013. "Spatial Nexus in Crime and unemployment in Times of crisis: Evidence from Germany," Cambridge Working Papers in Economics 1359, Faculty of Economics, University of Cambridge.
    18. Schneider, Andreas, 2019. "Deterrence Theory in Paraguay: Exploring Fraud and Violation of Trust Cases," MPRA Paper 102204, University Library of Munich, Germany.
    19. Sourav Batabyal, 2011. "Temporal Causality and the Dynamics of Crime and Delinquency," Atlantic Economic Journal, Springer;International Atlantic Economic Society, vol. 39(4), pages 421-441, December.
    20. Isaac Ehrlich, 1996. "Crime, Punishment, and the Market for Offenses," Journal of Economic Perspectives, American Economic Association, vol. 10(1), pages 43-67, Winter.
    21. Levitt Steven D., 2002. "Testing the Economic Model of Crime:The National Hockey League's Two-Referee Experiment," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 1(1), pages 1-21, January.

    More about this item

    JEL classification:

    • C32 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes; State Space Models
    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:coecpo:v:21:y:2003:i:4:p:525-538. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://edirc.repec.org/data/weaaaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.