IDEAS home Printed from https://ideas.repec.org/p/fem/femwpa/2023.10.html
   My bibliography  Save this paper

Neutralizing the Tentacles of Organized Crime. Assessment of the Impact of an Anti-Crime Measure on Mafia Violence in Italy

Author

Listed:
  • Anna Laura Baraldi

    (Department of Economics, University of Campania)

  • Erasmo Pagani

    (Department of Law, University of Naples Federico II)

  • Marco Stimolo

    (Department of Economic and Social Sciences, Università Politecnica delle Marche)

Abstract

Organised crime tightens its corrupting influence on politics through violent intimidation. Anti-crime measures that increase the cost of corruption but not of the exercise of violence might accordingly lead mafia-style organizations to retaliate by resorting to violence in lieu of bribery. On the other hand, this kind of anti-crime measure might also induce criminal clans to go inactive, owing to the lower expected payoff from the “business” of influencing politics, which would reduce violence. To determine which of these possible effects is prevalent, we undertake an empirical assessment of the impact of city council dissolution for mafia influence in Italy as prescribed by Decree Law 164/1991 in discouraging violence against politicians in the period 2010-2019. Our difference-in-differences analysis shows that in the dissolved municipalities the enforcement of the Law reduces violence and that the effect persists (at least) for two electoral rounds. The most likely driving channel of this result is the renewed pool of politicians elected after compulsory administration. These findings are robust to a series of endogeneity tests.

Suggested Citation

  • Anna Laura Baraldi & Erasmo Pagani & Marco Stimolo, 2023. "Neutralizing the Tentacles of Organized Crime. Assessment of the Impact of an Anti-Crime Measure on Mafia Violence in Italy," Working Papers 2023.10, Fondazione Eni Enrico Mattei.
  • Handle: RePEc:fem:femwpa:2023.10
    as

    Download full text from publisher

    File URL: https://feem-media.s3.eu-central-1.amazonaws.com/wp-content/uploads/NDL2023-010.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Cameron,A. Colin & Trivedi,Pravin K., 2013. "Regression Analysis of Count Data," Cambridge Books, Cambridge University Press, number 9781107667273, January.
    2. Eckel, Catherine C & Grossman, Philip J, 1998. "Are Women Less Selfish Than Men? Evidence from Dictator Experiments," Economic Journal, Royal Economic Society, vol. 108(448), pages 726-735, May.
    3. Paolo Pinotti, 2015. "The Causes and Consequences of Organised Crime: Preliminary Evidence Across Countries," Economic Journal, Royal Economic Society, vol. 125(586), pages 158-174, August.
    4. Antonio Acconcia & Giancarlo Corsetti & Saverio Simonelli, 2014. "Mafia and Public Spending: Evidence on the Fiscal Multiplier from a Quasi-experiment," American Economic Review, American Economic Association, vol. 104(7), pages 2185-2209, July.
    5. Nikita Melnikov & Carlos Schmidt-Padilla & Maria Micaela Sviatschi, 2020. "Gangs, Labor Mobility and Development," NBER Working Papers 27832, National Bureau of Economic Research, Inc.
    6. Marco Di Cataldo & Nicola Mastrorocco, 2022. "Organized Crime, Captured Politicians, and the Allocation of Public Resources [“Mafiaand Public Spending: Evidence on the Fiscal Multiplier from a Quasi-Experiment]," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 38(3), pages 774-839.
    7. Daron Acemoglu & Giuseppe De Feo & Giacomo Davide De Luca, 2020. "Weak States: Causes and Consequences of the Sicilian Mafia," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 87(2), pages 537-581.
    8. Galletta, Sergio, 2017. "Law enforcement, municipal budgets and spillover effects: Evidence from a quasi-experiment in Italy," Journal of Urban Economics, Elsevier, vol. 101(C), pages 90-105.
    9. Wooldridge, Jeffrey M., 2005. "Violating Ignorability Of Treatment By Controlling For Too Many Factors," Econometric Theory, Cambridge University Press, vol. 21(5), pages 1026-1028, October.
    10. Federico Cingano & Marco Tonello, 2020. "Law Enforcement, Social Control and Organized Crime: Evidence from Local Government Dismissals in Italy," Italian Economic Journal: A Continuation of Rivista Italiana degli Economisti and Giornale degli Economisti, Springer;Società Italiana degli Economisti (Italian Economic Association), vol. 6(2), pages 221-254, July.
    11. Melissa Dell, 2015. "Trafficking Networks and the Mexican Drug War," American Economic Review, American Economic Association, vol. 105(6), pages 1738-1779, June.
    12. Alberto Alesina & Salvatore Piccolo & Paolo Pinotti, 2019. "Organized Crime, Violence, and Politics," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 86(2), pages 457-499.
    13. Lance Lochner & Enrico Moretti, 2004. "The Effect of Education on Crime: Evidence from Prison Inmates, Arrests, and Self-Reports," American Economic Review, American Economic Association, vol. 94(1), pages 155-189, March.
    14. Lance Lochner, 2004. "Education, Work, And Crime: A Human Capital Approach," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 45(3), pages 811-843, August.
    15. Sah, Raaj K, 1991. "Social Osmosis and Patterns of Crime," Journal of Political Economy, University of Chicago Press, vol. 99(6), pages 1272-1295, December.
    16. Jeffrey M Wooldridge, 2010. "Econometric Analysis of Cross Section and Panel Data," MIT Press Books, The MIT Press, edition 2, volume 1, number 0262232588, December.
    17. Gianmarco Daniele & Benny Geys, 2015. "Organised Crime, Institutions and Political Quality: Empirical Evidence from Italian Municipalities," Economic Journal, Royal Economic Society, vol. 125(586), pages 233-255, August.
    18. Daniele, Gianmarco & Dipoppa, Gemma, 2017. "Mafia, elections and violence against politicians," Journal of Public Economics, Elsevier, vol. 154(C), pages 10-33.
    19. Ricardo Mora & Iliana Reggio, 2019. "Alternative diff-in-diffs estimators with several pretreatment periods," Econometric Reviews, Taylor & Francis Journals, vol. 38(5), pages 465-486, May.
    20. Lance Lochner, 2007. "Individual Perceptions of the Criminal Justice System," American Economic Review, American Economic Association, vol. 97(1), pages 444-460, March.
    21. Maria Micaela Sviatschi, 2019. "US Criminal Deportations and Human Capital in Central America," AEA Papers and Proceedings, American Economic Association, vol. 109, pages 239-242, May.
    22. Buonanno, Paolo & Prarolo, Giovanni & Vanin, Paolo, 2016. "Organized crime and electoral outcomes. Evidence from Sicily at the turn of the XXI century," European Journal of Political Economy, Elsevier, vol. 41(C), pages 61-74.
    23. Castillo, Juan Camilo & Kronick, Dorothy, 2020. "The Logic of Violence in Drug War," American Political Science Review, Cambridge University Press, vol. 114(3), pages 874-887, August.
    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. Baraldi, Anna Laura & Cantabene, Claudia & De Iudicibus, Alessandro, 2023. "Fighting crime for improved recycling: evaluating an anti-mafia policy on source separation of waste," MPRA Paper 120296, University Library of Munich, Germany.
    2. Anna Laura Baraldi & Giovanni Immordino & Erasmo Papagni & Marco Stimolo, 2023. "An Unintended Consequence of Gender Balance Laws: Mafia Fuels Political Violence," CSEF Working Papers 693, Centre for Studies in Economics and Finance (CSEF), University of Naples, Italy.

    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. Baraldi, Anna Laura & Papagni, Erasmo & Stimolo, Marco, 2023. "Neutralizing the Tentacles of Organized Crime. Assessment of the Impact of an Anti-Crime Measure on Mafia Violence in Italy," FEEM Working Papers 335068, Fondazione Eni Enrico Mattei (FEEM).
    2. Baraldi, Anna Laura & Papagni, Erasmo & Stimolo, Marco, 2022. "Neutralizing the Tentacles of Organized Crime. Assessment of an Anti-Crime Measure in Fighting Mafia Violence," FEEM Working Papers 322775, Fondazione Eni Enrico Mattei (FEEM).
    3. Anna Laura Baraldi & Erasmo Pagani & Marco Stimolo, 2022. "Neutralizing the Tentacles of Organized Crime. Assessment of an Anti-Crime Measure in Fighting Mafia Violence," Working Papers 2022.18, Fondazione Eni Enrico Mattei.
    4. Paolo Buonanno & Irene Ferrari & Alessandro Saia, 2023. "ALL IS NOT LOST: Organized Crime and Social Capital Formation," Working Papers 2023: 16, Department of Economics, University of Venice "Ca' Foscari", revised 2024.
    5. Baraldi, Anna Laura & Immordino, Giovanni & Stimolo, Marco, 2022. "Self-selecting candidates or compelling voters: How organized crime affects political selection," European Journal of Political Economy, Elsevier, vol. 71(C).
    6. Baraldi, Anna Laura & Immordino, Giovanni & Stimolo, Marco, 2022. "Mafia wears out women in power: Evidence from italian municipalities," Journal of Economic Behavior & Organization, Elsevier, vol. 193(C), pages 213-236.
    7. Federico Cingano & Marco Tonello, 2020. "Law Enforcement, Social Control and Organized Crime: Evidence from Local Government Dismissals in Italy," Italian Economic Journal: A Continuation of Rivista Italiana degli Economisti and Giornale degli Economisti, Springer;Società Italiana degli Economisti (Italian Economic Association), vol. 6(2), pages 221-254, July.
    8. Paolo Pinotti, 0. "The Credibility Revolution in the Empirical Analysis of Crime," Italian Economic Journal: A Continuation of Rivista Italiana degli Economisti and Giornale degli Economisti, Springer;Società Italiana degli Economisti (Italian Economic Association), vol. 0, pages 1-14.
    9. Ferrante, Livio & Reito, Francesco & Spagano, Salvatore & Torrisi, Gianpiero, 2021. "Shall we follow the money? Anti-mafia policies and electoral competition," Journal of Policy Modeling, Elsevier, vol. 43(5), pages 1110-1130.
    10. Anna Laura Baraldi & Giovanni Immordino & Erasmo Papagni & Marco Stimolo, 2023. "An Unintended Consequence of Gender Balance Laws: Mafia Fuels Political Violence," CSEF Working Papers 693, Centre for Studies in Economics and Finance (CSEF), University of Naples, Italy.
    11. Filippo Boeri & Marco Di Cataldo & Elisabetta Pietrostefani, 2022. "Localised Effects of Re-allocated Real Estate Mafia Assets," Working Papers 2022:10, Department of Economics, University of Venice "Ca' Foscari".
    12. Giovanni Bernardo & Irene Brunetti & Mehmet Pinar & Thanasis Stengos, 2021. "Measuring the presence of organized crime across Italian provinces: a sensitivity analysis," European Journal of Law and Economics, Springer, vol. 51(1), pages 31-95, February.
    13. Pinotti, Paolo, 2020. "The credibility revolution in the empirical analysis of crime," CEPR Discussion Papers 14850, C.E.P.R. Discussion Papers.
    14. Nicola Mastrorocco, 2018. "Organised Crime, Captured Politicians and the Allocation of Public Resources," Trinity Economics Papers tep1018, Trinity College Dublin, Department of Economics.
    15. Paolo Pinotti, 2020. "The Credibility Revolution in the Empirical Analysis of Crime," Italian Economic Journal: A Continuation of Rivista Italiana degli Economisti and Giornale degli Economisti, Springer;Società Italiana degli Economisti (Italian Economic Association), vol. 6(2), pages 207-220, July.
    16. Francesca M. Calamunci & Livio Ferrante & Rossana Scebba, 2022. "Closed for mafia: Evidence from the removal of mafia firms on commercial property values," Journal of Regional Science, Wiley Blackwell, vol. 62(5), pages 1487-1511, November.
    17. Daron Acemoglu & Giuseppe De Feo & Giacomo Davide De Luca, 2020. "Weak States: Causes and Consequences of the Sicilian Mafia," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 87(2), pages 537-581.
    18. Christopher Blattman & Gustavo Duncan & Benjamin Lessing & Santiago Tobón, 2021. "Gang rule: Understanding and Countering Criminal Governance," NBER Working Papers 28458, National Bureau of Economic Research, Inc.
    19. Marco Di Cataldo & Nicola Mastrorocco, 2022. "Organized Crime, Captured Politicians, and the Allocation of Public Resources [“Mafiaand Public Spending: Evidence on the Fiscal Multiplier from a Quasi-Experiment]," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 38(3), pages 774-839.
    20. Cavalieri, Marina & Finocchiaro Castro, Massimo & Guccio, Calogero, 2023. "Organised crime and educational outcomes in Southern Italy: An empirical investigation," Socio-Economic Planning Sciences, Elsevier, vol. 89(C).

    More about this item

    Keywords

    Organized Crime; Violence; Anti-corruption measures; Spillovers;
    All these keywords.

    JEL classification:

    • C25 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions; Probabilities
    • D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption
    • D78 - Microeconomics - - Analysis of Collective Decision-Making - - - Positive Analysis of Policy Formulation and Implementation
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:fem:femwpa:2023.10. 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: Alberto Prina Cerai (email available below). General contact details of provider: https://edirc.repec.org/data/feemmit.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.