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Legal status of immigrants and criminal behavior: evidence from a natural experiment

Listed author(s):
  • Giovanni Mastrobuoni

    ()

    (University of Essex)

  • Paolo Pinotti

    ()

    (Bank of Italy)

We estimate the causal effect of immigrants' legal status on criminal behavior exploiting exogenous variation in migration restrictions across nationalities driven by the last round of the European Union enlargement. Unique individual-level data on a collective clemency bill enacted in Italy five months before the enlargement allow us to compare the post-release criminal record of inmates from new EU member countries with a control group of pardoned inmates from candidate EU member countries. Difference-in-differences in the probability of re-arrest between the two groups before and after the enlargement show that obtaining legal status lowers the recidivism of economically motivated offenders, but only in areas that provide relatively better labor market opportunities to legal immigrants. We provide a search-theoretic model of criminal behavior that is consistent with these results.

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File URL: http://www.bancaditalia.it/pubblicazioni/temi-discussione/2011/2011-0813/en_tema_813.pdf
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Paper provided by Bank of Italy, Economic Research and International Relations Area in its series Temi di discussione (Economic working papers) with number 813.

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Date of creation: Jun 2011
Handle: RePEc:bdi:wptemi:td_813_11
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