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An Economic Analysis of Hate Crime

Author

Listed:
  • Lewis R. Gale

    (Department of Economics and Finance, University of Louisiania, Lafayette)

  • Will Carrington Heath

    (University of Louisiana at Lafayette)

  • Rand W. Ressler

    (University of Louisiana at Lafayette)

Abstract

Utilizing an established economic framework grounded in Becker's (1981) path-breaking analysis of altruism and envy within the family, this paper explores the determinants of hate crimes, also known as bias-motivated crimes. Making use of a unique data set on hate crimes compiled by the FBI, we estimate the determinants of hate crimes across states using both random- and fixed-effects approaches. While there are limitations in the use of bias-motivation crime data in empirical analysis, we find statistical significance between the incidence of hate crime and several economic and socioeconomic variables. Most notably, among non-South states, a higher hate crime rate is associated with higher abuse rates, higher unemployment rates, and greater parity of black and white incomes.

Suggested Citation

  • Lewis R. Gale & Will Carrington Heath & Rand W. Ressler, 2002. "An Economic Analysis of Hate Crime," Eastern Economic Journal, Eastern Economic Association, vol. 28(2), pages 203-216, Spring.
    • Handle: RePEc:eej:eeconj:v:28:y:2002:i:2:p:203-216
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    References listed on IDEAS

    as
    1. Zhang, Junsen, 1997. "The Effect of Welfare Programs on Criminal Behavior: A Theoretical and Empirical Analysis," Economic Inquiry, Western Economic Association International, vol. 35(1), pages 120-137, January.
    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 521-565, May-June.
    3. Sjoquist, David Lawrence, 1973. "Property Crime and Economic Behavior: Some Empirical Results," American Economic Review, American Economic Association, vol. 63(3), pages 439-446, June.
    4. Gary S. Becker, 1974. "Crime and Punishment: An Economic Approach," NBER Chapters, in: Essays in the Economics of Crime and Punishment, pages 1-54, National Bureau of Economic Research, Inc.
    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Endrich, Marek & Michel, Stephan, 2018. "The good tourist, the bad refugee and the ugly German: Xenophobic activities and tourism," ILE Working Paper Series 16, University of Hamburg, Institute of Law and Economics.
    2. Endrich, Marek, 2020. "The good tourist, the bad refugee and the ugly German: Xenophobic activities and tourism," VfS Annual Conference 2020 (Virtual Conference): Gender Economics 224604, Verein für Socialpolitik / German Economic Association.
    3. Ryan, Matt E. & Leeson, Peter T., 2011. "Hate groups and hate crime," International Review of Law and Economics, Elsevier, vol. 31(4), pages 256-262.
    4. Li Gan & Roberton C. Williams Iii & Thomas Wiseman, 2011. "A Simple Model Of Optimal Hate Crime Legislation," Economic Inquiry, Western Economic Association International, vol. 49(3), pages 674-684, July.
    5. Daniel Graeber & Felicitas Schikora, 2021. "Hate Is Too Great a Burden to Bear: Hate Crimes and the Mental Health of Refugees," SOEPpapers on Multidisciplinary Panel Data Research 1130, DIW Berlin, The German Socio-Economic Panel (SOEP).
    6. Sharma, Smriti, 2015. "Caste-based crimes and economic status: Evidence from India," Journal of Comparative Economics, Elsevier, vol. 43(1), pages 204-226.
    7. Mason Youngblood, 2020. "Extremist ideology as a complex contagion: the spread of far-right radicalization in the United States between 2005 and 2017," Humanities and Social Sciences Communications, Palgrave Macmillan, vol. 7(1), pages 1-10, December.
    8. Sean Mulholland, 2013. "White supremacist groups and hate crime," Public Choice, Springer, vol. 157(1), pages 91-113, October.
    9. Richard M. Medina & Emily Nicolosi & Simon Brewer & Andrew M. Linke, 2018. "Geographies of Organized Hate in America: A Regional Analysis," Annals of the American Association of Geographers, Taylor & Francis Journals, vol. 108(4), pages 1006-1021, July.
    10. Jason Chan & Anindya Ghose & Robert Seamans, 2013. "The Internet and Hate Crime: Offline Spillovers from Online Access," Working Papers 13-02, NET Institute.
    11. Ralsmark, Hilda, 2017. "Media visibility and social tolerance: Evidence from USA," Working Papers in Economics 703, University of Gothenburg, Department of Economics.
    12. Richard M. Medina & Emily A. Nicolosi & Simon Brewer & Erin Moore, 2021. "A Geographical Analysis of Socioeconomic and Ideological Drivers of Hate Crime in the United States," International Journal of Applied Geospatial Research (IJAGR), IGI Global Scientific Publishing, vol. 12(2), pages 39-56, April.
    13. Matheus A. S. Souza & Paulo R. A. Loureiro & Geovana L. Bertussi & George H. M. Cunha & Tito B. S. Moreira, 2022. "Political Parties and Hate Crimes: Empirical Evidence from the United States," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 14(11), pages 1-46, November.
    14. Chor Foon Tang, 2011. "An exploration of dynamic relationship between tourist arrivals, inflation, unemployment and crime rates in Malaysia," International Journal of Social Economics, Emerald Group Publishing Limited, vol. 38(1), pages 50-69, January.
    15. Mulholland, Sean E., 2011. "Hate Source: White Supremacist Hate Groups and Hate Crime," MPRA Paper 28861, University Library of Munich, Germany.

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    Keywords

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    JEL classification:

    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law
    • K14 - Law and Economics - - Basic Areas of Law - - - Criminal Law
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • J71 - Labor and Demographic Economics - - Labor Discrimination - - - Hiring and Firing

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