The empirical literature on the economic analysis of crime suffers from the lack of theoretical underpinnings in using various income variables to proxy expected net gains from crime. As a result, the empirical findings are often mixed or contradictory to one another. This note provides a theoretical argument that relates the net expected gains from crime to a measure of income inequality (Gini coefficient) and the mean income of a society, thereby clarifying the confusions which exist in current criminometric studies.
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Paper provided by La Trobe - Department of Economics in its series Papers with number
90-15.
Find related papers by JEL classification: D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement K10 - Law and Economics - - Basic Areas of Law - - - General (Constitutional Law)
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