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Crime Scars: Recessions and the Making of Career Criminals

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Listed:
  • Bell, Brian

    (King's College London)

  • Bindler, Anna

    (University of Cologne)

  • Machin, Stephen

    (London School of Economics)

Abstract

Recessions lead to short-term job loss, lower levels of happiness and decreasing income levels. There is growing evidence that workers who first join the labour market during economic downturns suffer from poor job matches that have a sustained detrimental effect on their wages and career progression. This paper uses a range of US and UK data to document a more disturbing long-run effect of recessions: young people who leave school in the midst of recessions are significantly more likely to lead a life of crime than those graduating into a buoyant labour market. These effects are long lasting and substantial.

Suggested Citation

  • Bell, Brian & Bindler, Anna & Machin, Stephen, 2014. "Crime Scars: Recessions and the Making of Career Criminals," IZA Discussion Papers 8332, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp8332
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    References listed on IDEAS

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    More about this item

    Keywords

    crime; recessions; unemployment;
    All these keywords.

    JEL classification:

    • J64 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment: Models, Duration, Incidence, and Job Search
    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law

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