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La delincuencia y su efecto sobre el crecimiento económico. El caso de México
[Crime and Economic Growth. The case of Mexico]

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  • Lozano-Cortés, René
  • Cabrera-Castellanos, Luis F.
  • Lozano-Cortés, Maribel

Abstract

In this paper, we made a brief review of the theory that analyzes the interaction between crime and economic growth, then we present two indices of insecurity for Mexico using the principal component factor analysis. An index called national public insecurity which refers to federal crimes (drug trafficking, conspiracy, etc.) And a second index, the index of private insecurity, based on common law crimes (offenses against property of the people, etc..). We describe the behavior of both indexes for the 32 states for the years 1997, 2005 and 2008. Additionally, we show an economic growth model, which incorporates the model of Barro (1990), which includes government spending financed by taxes. In the second part of this section we built two econometric models to analyze the effect that crime rates over investment and income.

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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 39678.

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Date of creation: 26 Jun 2012
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Handle: RePEc:pra:mprapa:39678

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Keywords: Economic Growth; Crime; Mexico;

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  1. Lloyd-Ellis, Huw & Marceau, Nicolas, 2003. "Endogenous insecurity and economic development," Journal of Development Economics, Elsevier, vol. 72(1), pages 1-29, October.
  2. Usher, Dan, 1989. "The Dynastic Cycle and the Stationary State," American Economic Review, American Economic Association, vol. 79(5), pages 1031-44, December.
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