Organized Crime, Migration and Human Capital Formation: Evidence from the South of Italy
AbstractThe presence of organized crime is a pervasive feature of many developed and developing countries. Even if ‘mafia’ organizations have greatly enlarged the geographical scope of their activities, as in the past they are still deeply rooted in specific territories where their presence generates a host of influences on socio-economic performances (perverse social capital). In this paper we analyse the consequences of the presence of organized crime on the long-term accumulation of human capital, a key determinant of economic growth. To do this we build a unique dataset where - among other information - we identify municipalities where the presence of organized crime is particularly pervasive in an Italian region, Calabria, where is based one of the most powerful international criminal organization, 'Ndrangheta. Our results suggest that the presence of organized crime inhibits the accumulation of human capital both directly (reducing the incentive to invest in formal education) and indirectly by increasing migration outflows.
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Bibliographic InfoPaper provided by Dipartimento di Scienze Economiche e Metodi Matematici - Università di Bari in its series series with number 0028.
Date of creation: Mar 2010
Date of revision: Mar 2010
Organized crime; human capital; social capital; migration;
Find related papers by JEL classification:
- J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
- O15 - Economic Development, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
- O18 - Economic Development, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
This paper has been announced in the following NEP Reports:
- NEP-ALL-2010-04-11 (All new papers)
- NEP-EUR-2010-04-11 (Microeconomic European Issues)
- NEP-HRM-2010-04-11 (Human Capital & Human Resource Management)
- NEP-MIG-2010-04-11 (Economics of Human Migration)
- NEP-SOC-2010-04-11 (Social Norms & Social Capital)
You can help add them by filling out this form.
Blog mentionsAs found by EconAcademics.org, the blog aggregator for Economics research:
- Mafia, education, and emigration
by Economic Logician in Economic Logic on 2010-05-04 14:03:00
- Organized Crime, Migration and Human Capital Formation: Evidence from the South of Italy
by Ariel Goldring in Free Market Mojo on 2010-04-17 07:00:02
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