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A Cure for Crime? Psycho-Pharmaceuticals and Crime Trends

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Dave E. Marcotte
Sara Markowitz

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Abstract

In this paper we consider possible links between the advent and diffusion of a number of new psychiatric pharmaceutical therapies and crime rates. We describe recent trends in crime and review the evidence showing mental illness as a clear risk factor both for criminal behavior and victimization. We then briefly summarize the development of a number of new pharmaceutical therapies for the treatment of mental illness which diffused during the “great American crime decline.” We examine limited international data, as well as more detailed American data to assess the relationship between crime rates and rates of prescriptions of the main categories of psychotropic drugs, while controlling for other factors which may explain trends in crime rates. We find that increases in prescriptions for psychiatric drugs in general are associated with decreases in violent crime, with the largest impacts associated with new generation antidepressants and stimulants used to treat ADHD. Our estimates imply that about 8.5 percent of the recent crime drop was due to expanded mental health treatment.

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Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 15354.

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Date of creation: Sep 2009
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Handle: RePEc:nbr:nberwo:15354

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I0 - Health, Education, and Welfare - - General
K0 - Law and Economics - - General

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  1. Steven D. Levitt, 2004. "Understanding Why Crime Fell in the 1990s: Four Factors That Explain the Decline and Six That Do Not," Journal of Economic Perspectives, American Economic Association, vol. 18(1), pages 163-190, Winter. [Downloadable!] (restricted)
  2. Ehrlich, Isaac, 1973. "Participation in Illegitimate Activities: A Theoretical and Empirical Investigation," Journal of Political Economy, University of Chicago Press, vol. 81(3), pages 521-65, May-June. [Downloadable!] (restricted)
  3. Evans, William N. & Owens, Emily G., 2007. "COPS and crime," Journal of Public Economics, Elsevier, vol. 91(1-2), pages 181-201, February. [Downloadable!] (restricted)
  4. Cuellar, Alison Evans & Markowitz, Sara, 2007. "Medicaid policy changes in mental health care and their effect on mental health outcomes," Health Economics, Policy and Law, Cambridge University Press, vol. 2(01), pages 23-49, January. [Downloadable!]
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  5. Mark Duggan, 2001. "More Guns, More Crime," Journal of Political Economy, University of Chicago Press, vol. 109(5), pages 1086-1114, October. [Downloadable!] (restricted)
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  6. Becker, Gary S & Mulligan, Casey B, 1997. "The Endogenous Determination of Time Preference," The Quarterly Journal of Economics, MIT Press, vol. 112(3), pages 729-58, August.
  7. Philip J. Cook, 2008. "Assessing Urban Crime And Its Control: An Overview," NBER Working Papers 13781, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  8. Jeff Grogger & Michael Willis, 2000. "The Emergence Of Crack Cocaine And The Rise In Urban Crime Rates," The Review of Economics and Statistics, MIT Press, vol. 82(4), pages 519-529, November. [Downloadable!] (restricted)
  9. John J. Donohue & Steven D. Levitt, 2001. "The Impact Of Legalized Abortion On Crime," The Quarterly Journal of Economics, MIT Press, vol. 116(2), pages 379-420, May. [Downloadable!] (restricted)
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