The Effect of Workfare Policy on Crime
In this paper, we focus on a novel and potentially important aspect of the workfare policy in the Danish labor market, namely its effect on crime. We do this by exploiting two policy changes. First, we examine the effect of a series of national welfare reforms introduced during the 1990s. Those reforms strengthened the work requirement for the young welfare recipients and were introduced gradually, starting with younger welfare participants first. We exploit the differential introduction of workfare reform across different age groups as the exogenous variation. Second, we use a unique policy experiment that began in 1987 by an innovative mayor of the Danish city of Farum, where he imposed a 100 % work or training requirement for all welfare recipients immediately from the date of enrollment. By comparing the changes in crime rates among the welfare recipients in Farum before and after 1987 with that of the rest of Denmark, we identify the effect of workfare on the crime rate. Our results show a dramatic decline in the arrest rate among welfare recipients after the introduction of the stronger workfare requirements, both at the national level and in Farum. Those results imply a strong and significant crime reducing effect of the workfare policy.
|Date of creation:||Apr 2010|
|Contact details of provider:|| Postal: Kingston, Ontario, K7L 3N6|
Phone: (613) 533-2250
Fax: (613) 533-6668
Web page: http://qed.econ.queensu.ca/
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Richard B. Freeman, 1996.
"Why Do So Many Young American Men Commit Crimes and What Might We Do about It?,"
Journal of Economic Perspectives,
American Economic Association, vol. 10(1), pages 25-42, Winter.
- Richard B. Freeman, 1996. "Why Do So Many Young American Men Commit Crimes and What Might We Do About It?," NBER Working Papers 5451, National Bureau of Economic Research, Inc.
- Michael Rosholm & Michael Svarer, 2004.
"Estimating the Threat Effect of Active Labour Market Programmes,"
CAM Working Papers
2004-14, University of Copenhagen. Department of Economics. Centre for Applied Microeconometrics.
- Michael Rosholm & Michael Svarer, 2004. "Estimating the Threat Effect of Active Labour Market Programmes," Economics Working Papers 2004-6, Department of Economics and Business Economics, Aarhus University.
- Rosholm, Michael & Svarer, Michael, 2004. "Estimating the Threat Effect of Active Labour Market Programmes," IZA Discussion Papers 1300, Institute for the Study of Labor (IZA).
- Nilsson, Anna & Agell, Jonas, 2003.
"Crime, Unemployment and Labor Market Programs in Turbulent Times,"
Research Papers in Economics
2003:13, Stockholm University, Department of Economics.
- Nilsson, Anna & Agell, Jonas, 2003. "Crime, unemployment and labor market programs in turbulent times," Working Paper Series 2003:14, IFAU - Institute for Evaluation of Labour Market and Education Policy.
- Bolvig, Iben & Jensen, Peter & Rosholm, Michael, 2003. "The Employment Effects of Active Social Policy," IZA Discussion Papers 736, Institute for the Study of Labor (IZA).
- Raphael, Steven & Winter-Ember, Rudolf, 2001.
"Identifying the Effect of Unemployment on Crime,"
Journal of Law and Economics,
University of Chicago Press, vol. 44(1), pages 259-283, April.
- Raphael, Steven & Winter-Ebmer, Rudolf, 1999. "Identifying the Effect of Unemployment on Crime," CEPR Discussion Papers 2129, C.E.P.R. Discussion Papers.
- Raphael, Steven & WINTER-EBMER, RUDOLF, 1998. "Identifying the Effect of Unemployment on Crime," University of California at San Diego, Economics Working Paper Series qt5hb4h56g, Department of Economics, UC San Diego.
- Donohue, John J, III & Siegelman, Peter, 1998. "Allocating Resources among Prisons and Social Programs in the Battle against Crime," The Journal of Legal Studies, University of Chicago Press, vol. 27(1), pages 1-43, January.
- Susumu Imai & Kala Krishna, 2004. "Employment, Deterrence, And Crime In A Dynamic Model," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 45(3), pages 845-872, 08.
When requesting a correction, please mention this item's handle: RePEc:qed:wpaper:1236. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mark Babcock)
If references are entirely missing, you can add them using this form.