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|z 9781513519272
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|a 1018-5941
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|a Plotnikov, Dmitry.
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|a Crime and Output :
|b Theory and Application to the Northern Triangle of Central America /
|c Dmitry Plotnikov.
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|a Washington, D.C. :
|b International Monetary Fund,
|c 2020.
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|a 1 online resource (25 pages)
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|a IMF Working Papers
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|a <strong>Off-Campus Access:</strong> No User ID or Password Required
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|a <strong>On-Campus Access:</strong> No User ID or Password Required
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|a Electronic access restricted to authorized BRAC University faculty, staff and students
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|a This paper presents a structural model of crime and output. Individuals make an occupational choice between criminal and legal activities. The return to becoming a criminal is endogenously determined in a general equilibrium together with the level of crime and economic activity. I calibrate the model to the Northern Triangle countries and conduct several policy experiments. I find that for a country like Honduras crime reduces GDP by about 3 percent through its negative effect on employment indirectly, in addition to direct costs of crime associated with material losses, which are in line with literature estimates. Also, the model generates a non-linear effect of crime on output and vice versa. On average I find that a one percent increase in output per capita implies about 1\2 percent decline in crime, while a decrease of about 5 percent in crime leads to about one percent increase in output per capita. These positive effects are larger if the initial level of crime is larger.
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|a Mode of access: Internet
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|a IMF Working Papers; Working Paper ;
|v No. 2020/002
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|z Full text available on IMF
|u http://elibrary.imf.org/view/journals/001/2020/002/001.2020.issue-002-en.xml
|z IMF e-Library
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