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The economic consequences of crime in Italy

Author

Listed:
  • Oliviero A. Carboni
  • Claudio Detotto

Abstract

Purpose - – The purpose of this paper is to employ provincial data to study the relationship between several crime typologies, namely murder, robbery, extortion and fraud and economic output in Italy. Design/methodology/approach - – The authors propose a spatial econometric approach where the spatial proximity is defined by a measure of physical distance between locations, in order to take into account possible spill-over effects. Findings - – The results of the spatial estimation suggest that criminal activities, namely murder and robbery, exhibit a negative impact on Italian gross domestic product while fraud and total crime do not affect economic output and that there are beneficial spill-overs from neighbouring provinces. Originality/value - – The study empirically shows that only violent crimes have a crowding-out effect on economic output.

Suggested Citation

  • Oliviero A. Carboni & Claudio Detotto, 2016. "The economic consequences of crime in Italy," Journal of Economic Studies, Emerald Group Publishing Limited, vol. 43(1), pages 122-140, January.
    • Handle: RePEc:eme:jespps:jes-07-2014-0121
    DOI: 10.1108/JES-07-2014-0121
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    Citations

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    Cited by:

    1. Litany Eldest Nurbasuni & Khoirunurrofik Khoirunurrofik, 2024. "Between crime and economic growth: the asymmetric role of public expenditure and unemployment," Review of Regional Research: Jahrbuch für Regionalwissenschaft, Springer;Gesellschaft für Regionalforschung (GfR), vol. 44(1), pages 21-45, March.
    2. Marcus Box & Karl Gratzer & Xiang Lin, 2020. "Destructive entrepreneurship in the small business sector: bankruptcy fraud in Sweden, 1830–2010," Small Business Economics, Springer, vol. 54(2), pages 437-457, February.
    3. Giuseppe Terzo, 2022. "The economic impact of social entrepreneurship: an exploratory analysis of the linkage between social cooperation and local growth in Italy," RIEDS - Rivista Italiana di Economia, Demografia e Statistica - The Italian Journal of Economic, Demographic and Statistical Studies, SIEDS Societa' Italiana di Economia Demografia e Statistica, vol. 76(3), pages 17-28, July-Sept.
    4. Huijuan Xiao & Sheng Bao & Jingzheng Ren & Zhenci Xu & Song Xue & Jianguo Liu, 2024. "Global transboundary synergies and trade-offs among Sustainable Development Goals from an integrated sustainability perspective," Nature Communications, Nature, vol. 15(1), pages 1-12, December.
    5. Joshua K. Bedi & Shaomeng Jia & Claudia Williamson Kramer, 2025. "Protecting Postville? The impact of deportation and immigration on crime," Public Choice, Springer, vol. 203(3), pages 369-396, June.
    6. Nicolò Barbieri & Ugo Rizzo, 2023. "The impact of crime on firm entry," Journal of Regional Science, Wiley Blackwell, vol. 63(2), pages 446-469, March.
    7. Luisa Iachan & François Moreau & Paul Heritage & Leandro Valiati & Eliana Sousa Silva, 2023. "How does urban violence impact choices of cultural participation? The case of the Maré favela complex in Rio de Janeiro," Journal of Cultural Economics, Springer;The Association for Cultural Economics International, vol. 47(4), pages 609-641, December.
    8. Rose Ann Camille C. Caliso & Jamil Paolo S. Francisco & Emmanuel M. Garcia, 2020. "Broad Insecurity and Perceived Victimization Risk," Journal of Interdisciplinary Economics, , vol. 32(2), pages 160-179, July.
    9. Godwin Okafor & Obiajulu Ede, 2023. "Kidnapping rate and capital flight: Empirical evidence from developing countries," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 28(3), pages 2590-2606, July.

    More about this item

    Keywords

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    JEL classification:

    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • C31 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions; Social Interaction Models
    • K10 - Law and Economics - - Basic Areas of Law - - - General (Constitutional Law)

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