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PROPERTY CRIME AND ECONOMIC BEHAVIOR - SOME EMPIRICAL RESULTS

NCJ Number
11299
Journal
American Economic Review Volume: 63 Issue: 3 Dated: (JUNE 1973) Pages: 439-446
Author(s)
D L SJOQUIST
Date Published
1973
Length
8 pages
Annotation

THEORY OF PROPERTY CRIME WHICH ASSUMES THAT CRIMINALS CAN BE EXPECTED TO BEHAVE IN THE SAME MANNER AS ANY OTHER INDIVIDUAL MAKING AN ECONOMIC DECISION UNDER RISK.

Abstract

THE AUTHOR DEVELOPED AN ECONOMIC MODEL OF CRIMINAL BEHAVIOR BASED ON A VON NEUMANN-MORGENSTERN UTILITY FUNCTION. THE MODEL IS ONE IN WHICH AN INDIVIDUAL MUST ALLOCATE HIS TIME BETWEEN LEGAL AND ILLEGAL ACTIVITIES SO AS TO MAXIMIZE UTILITY. THE MODEL WAS TESTED BY RUNNING MULTIPLE REGRESSIONS ON A CROSS-SECTIONAL SAMPLE OF COMMUNITIES. EMPIRICAL RESULTS GAVE AT LEAST PARTIAL PROOF TO THE THEORY BY SHOWING THAT AN INCREASE IN THE PROBABILITY OF ARREST AND CONVICTION AND AN INCREASE IN THE COST OF CRIME, IN TERMS OF PUNISHMENT, BOTH RESULT IN A DECREASE IN THE NUMBER OF MAJOR (OVER 50 DOLLARS) PROPERTY CRIMES COMMITTED. (AUTHOR ABSTRACT MODIFIED)