IDEAS home Printed from
   My bibliography  Save this paper

Hard Drugs Addiction, Drug Violations and Property Crimes in the US


  • Marco Cozzi

    (University College of London)


This paper studies the effect of hard drugs addiction on property crimes and hard drugs selling in the US. A dynamic equilibrium model quantifying how much of the observed property crime rate is accounted for by hard drugs addiction is specified and estimated. The model is framed in both a rational addiction and a rational crime participation environment. It exploits information on drug use in the American population, hard drugs expenditure, property crimes and drug abuse violations, obtained from the National Household Survey on Drug Abuse, the Surveys of Inmates, and the Uniform Crime Reports of the FBI, respectively. The equilibrium features of the model allow to pin down the response of hard drugs consumers to changes in prices, as well as to compute the revenues from drug selling, variables which are not available in the existing data. Moreover, the equilibrium framework allows to exploit data asked exclusively to inmates: by taking the selection problem explicitly into account, the model can predict moments which are representative of the whole population. The results show that a substantial part of property crimes, approximately 26%, is accounted for by predatory crime to finance addiction. The estimated model is in turn used to perform counterfactual simulations to quantify the economic consequences of a compulsory drug treatment scheme for all arrested felons, and the effects of a legalization policy. The first policy experiment suggests a decrease in the property crime rate by 11%, while under the new legal regime the property crime rate is found to decrease by 18%.

Suggested Citation

  • Marco Cozzi, 2007. "Hard Drugs Addiction, Drug Violations and Property Crimes in the US," 2007 Meeting Papers 51, Society for Economic Dynamics.
  • Handle: RePEc:red:sed007:51

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.


    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.

    Cited by:

    1. Engelhardt, Bryan & Rocheteau, Guillaume & Rupert, Peter, 2008. "Crime and the labor market: A search model with optimal contracts," Journal of Public Economics, Elsevier, vol. 92(10-11), pages 1876-1891, October.
    2. Engelhardt, Bryan & Rocheteau, Guillaume & Rupert, Peter, 2007. "Crime and the Labor Market in a Search Model with Pairwise-Efficient Separations," University of California at Santa Barbara, Economics Working Paper Series qt72r6g75d, Department of Economics, UC Santa Barbara.

    More about this item


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:red:sed007:51. 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: (Christian Zimmermann). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.