IDEAS home Printed from
   My bibliography  Save this paper

Fraud and Poverty: Exploring Ex Ante Victim Data


  • Yoshito Takasaki


Fraud studies rely on potentially underreported/misreported victim data in developed countries, virtually ignoring developing countries. This paper proposes using ex ante victim data, to be collected before attempted victims become aware of the fraudulence, and examines recruitment fraud, which is tightly linked with poverty. In rural Fiji, almost one quarter of households were defrauded of application fees for labor migration. The bigger problem is indirect costs: Controlling for victim endogeneity reveals that households' false expectations about international remittances led to a significant reduction in the domestic private transfers victims received. The analysis sharply identifies who was victimized and why/why not.

Suggested Citation

  • Yoshito Takasaki, 2011. "Fraud and Poverty: Exploring Ex Ante Victim Data," Tsukuba Economics Working Papers 2011-002, Economics, Graduate School of Humanities and Social Sciences, University of Tsukuba.
  • Handle: RePEc:tsu:tewpjp:2011-002

    Download full text from publisher

    File URL:
    Download Restriction: no

    References listed on IDEAS

    1. Lara Shore-Sheppard, 1996. "The Precision of Instrumental Variables Estimates With Grouped Data," Working Papers 753, Princeton University, Department of Economics, Industrial Relations Section..
    2. Anderson, David A, 1999. "The Aggregate Burden of Crime," Journal of Law and Economics, University of Chicago Press, vol. 42(2), pages 611-642, October.
    3. Barslund, Mikkel & Rand, John & Tarp, Finn & Chiconela, Jacinto, 2007. "Understanding Victimization: The Case of Mozambique," World Development, Elsevier, vol. 35(7), pages 1237-1258, July.
    4. Yoshito Takasaki, 2011. "Groups, Networks and Hierarchy in Household Private Transfers: Evidence from Fiji," Oxford Development Studies, Taylor & Francis Journals, vol. 39(1), pages 97-130.
    5. Rapoport, Hillel & Docquier, Frederic, 2006. "The Economics of Migrants' Remittances," Handbook on the Economics of Giving, Reciprocity and Altruism, Elsevier.
    6. Cox, Donald & Fafchamps, Marcel, 2008. "Extended Family and Kinship Networks: Economic Insights and Evolutionary Directions," Handbook of Development Economics, Elsevier.
    7. Bertram, Geoffrey, 1986. ""Sustainable development" in Pacific micro-economies," World Development, Elsevier, vol. 14(7), pages 809-822, July.
    8. Lucas, Robert E B & Stark, Oded, 1985. "Motivations to Remit: Evidence from Botswana," Journal of Political Economy, University of Chicago Press, vol. 93(5), pages 901-918, October.
    9. Kazianga, H., 2006. "Motives for household private transfers in Burkina Faso," Journal of Development Economics, Elsevier, vol. 79(1), pages 73-117, February.
    10. Fafchamps, Marcel & Minten, Bart, 2006. "Crime, Transitory Poverty, and Isolation: Evidence from Madagascar," Economic Development and Cultural Change, University of Chicago Press, vol. 54(3), pages 579-603, April.
    11. Leigh Linden & Jonah E. Rockoff, 2008. "Estimates of the Impact of Crime Risk on Property Values from Megan's Laws," American Economic Review, American Economic Association, vol. 98(3), pages 1103-1127, June.
    12. Lloyd-Ellis, Huw & Marceau, Nicolas, 2003. "Endogenous insecurity and economic development," Journal of Development Economics, Elsevier, vol. 72(1), pages 1-29, October.
    13. Mehlum, Halvor & Moene, Karl & Torvik, Ragnar, 2005. "Crime induced poverty traps," Journal of Development Economics, Elsevier, vol. 77(2), pages 325-340, August.
    14. Cox, Donald, 1987. "Motives for Private Income Transfers," Journal of Political Economy, University of Chicago Press, vol. 95(3), pages 508-546, June.
    15. Currie, Janet & Tekin, Erdal, 2006. "Does Child Abuse Cause Crime?," IZA Discussion Papers 2063, Institute for the Study of Labor (IZA).
    16. Juarez, Laura, 2009. "Crowding out of private support to the elderly: Evidence from a demogrant in Mexico," Journal of Public Economics, Elsevier, vol. 93(3-4), pages 454-463, April.
    Full references (including those not matched with items on IDEAS)

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:


    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:tsu:tewpjp:2011-002. 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: (Yoshinori Kurokawa) or (Lisa Gilmore). 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.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with 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.