International evidence on understanding the determinants of crime

This study was conducted to investigate the relationship between crime and economic variables such as income, unemployment, inflation, interest rate, and also the political violence, both domestic and regional. The main motivation of the study was to have a better understanding of crime, finding and...

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Main Authors: Abdul Hamid, Baharom, Habibullah, Muzafar Shah, Mohd Noor, Zaleha
Format: Conference or Workshop Item
Language:English
Published: 2012
Online Access:http://psasir.upm.edu.my/id/eprint/31765/
http://psasir.upm.edu.my/id/eprint/31765/1/31765.pdf
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author Abdul Hamid, Baharom
Habibullah, Muzafar Shah
Mohd Noor, Zaleha
author_facet Abdul Hamid, Baharom
Habibullah, Muzafar Shah
Mohd Noor, Zaleha
author_sort Abdul Hamid, Baharom
building UPM Institutional Repository
collection Online Access
description This study was conducted to investigate the relationship between crime and economic variables such as income, unemployment, inflation, interest rate, and also the political violence, both domestic and regional. The main motivation of the study was to have a better understanding of crime, finding and suggesting alternative way of approaching crime. We analyzed 21 countries, with data spanning from 1960 to 2001.We started our study on this objective by adapting the model and framework that was introduced by Viren (2001) based on Becker (1968), Block and Heineke (1975) and we made slight modification by rephrasing it in order to not only capture the long run relationship but also the short run adjustment. We employed panel-error-correction based cointegration (Persyn and Westerlund (2008)) to analyze and estimate the model. A number of important findings were extracted from the analysis in accordance to the objectives of this study. Firstly, it determines the negative long run relationship between income and crime, ,positive long run relationship between inflation and crime, unemployment and crime as well as lending rate and crime. As for the political violence variable, domestic political violence seems to be negatively related; on the contrary regional political violence is positively related. We believe this might be attributed to the spillover effect. All these signs are as anticipated and justified in this study and are concurrent with most of the past literatures.
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format Conference or Workshop Item
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institution Universiti Putra Malaysia
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language English
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publishDate 2012
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spelling upm-317652016-10-07T03:44:36Z http://psasir.upm.edu.my/id/eprint/31765/ International evidence on understanding the determinants of crime Abdul Hamid, Baharom Habibullah, Muzafar Shah Mohd Noor, Zaleha This study was conducted to investigate the relationship between crime and economic variables such as income, unemployment, inflation, interest rate, and also the political violence, both domestic and regional. The main motivation of the study was to have a better understanding of crime, finding and suggesting alternative way of approaching crime. We analyzed 21 countries, with data spanning from 1960 to 2001.We started our study on this objective by adapting the model and framework that was introduced by Viren (2001) based on Becker (1968), Block and Heineke (1975) and we made slight modification by rephrasing it in order to not only capture the long run relationship but also the short run adjustment. We employed panel-error-correction based cointegration (Persyn and Westerlund (2008)) to analyze and estimate the model. A number of important findings were extracted from the analysis in accordance to the objectives of this study. Firstly, it determines the negative long run relationship between income and crime, ,positive long run relationship between inflation and crime, unemployment and crime as well as lending rate and crime. As for the political violence variable, domestic political violence seems to be negatively related; on the contrary regional political violence is positively related. We believe this might be attributed to the spillover effect. All these signs are as anticipated and justified in this study and are concurrent with most of the past literatures. 2012 Conference or Workshop Item NonPeerReviewed application/pdf en http://psasir.upm.edu.my/id/eprint/31765/1/31765.pdf Abdul Hamid, Baharom and Habibullah, Muzafar Shah and Mohd Noor, Zaleha (2012) International evidence on understanding the determinants of crime. In: Seventh Malaysian National Economic Conference (PERKEM VII), 4-6 June 2012, Hotel Kinta Riverfront, Ipoh, Perak, Malaysia. (pp. 1445-1460). http://www.ukm.my/fep/perkem/contents/perkem2012-2-12.html
spellingShingle Abdul Hamid, Baharom
Habibullah, Muzafar Shah
Mohd Noor, Zaleha
International evidence on understanding the determinants of crime
title International evidence on understanding the determinants of crime
title_full International evidence on understanding the determinants of crime
title_fullStr International evidence on understanding the determinants of crime
title_full_unstemmed International evidence on understanding the determinants of crime
title_short International evidence on understanding the determinants of crime
title_sort international evidence on understanding the determinants of crime
url http://psasir.upm.edu.my/id/eprint/31765/
http://psasir.upm.edu.my/id/eprint/31765/
http://psasir.upm.edu.my/id/eprint/31765/1/31765.pdf