Economics of Crime
Economics of crime
A Report on the Economics of Crime in the UK
Economics of Social Policy
1/26/2011
18006583
Raza Waheed
Contents Executive Summary 3 Introduction 3 1.1: Aims and Objectives 3 1.2: The Structure of the Report 3 Section 2 3 2.1: The Two Main Sources of Crime Statistics 3 2.2: How Have Levels of Crime Changed Over the Years 4 2.2.1: Violent and Sexual Crime 4 2.2.2: Property Crime 5 Section 3 6 3.1: Positive and Negative Incentives 6 3.1.1: Incarceration Effect 8 3.1.2: The Market Model of Crime 9 3.1.3: Supply of Offences 10 3.2: Implications of Positive and Negative Incentives 10 Section 4 11 Quantifying the Cost of Crime 11 Conclusion 13 Table of Figures 13 References 14 Books 14 Websites 14
Executive Summary * Crime rates in the UK and Wales showed an increase in crime till around 1995 where it peaked. * Over the last couple of years, there has been a relatively small change in the crime levels. * Vehicle related theft has decreased the most out of all crimes as it has gone down by 65%. * Positive and Negative incentives both reduce the net return on crime through a higher number of policing on streets and an increase in employment opportunities. * Criminals are rational and respond to crime by incentives. * The government should only intervene in the cost of crime where the marginal benefit is greater than the marginal cost.
Introduction
1.1: Aims and Objectives
The main aims of this report is to examine the underlying trends in different types of crime and then to use economic evidence to illustrate the key findings by using positive and negative incentives.
1.2: The Structure of the Report
The structure of the report will be divided into three main parts. Section 2 will include data from the British Crime Survey 2009/10 showing recent trends in the incidence of crime and which types of crime have fallen the most. Section 3 of the report
A Report on the Economics of Crime in the UK
Economics of Social Policy
1/26/2011
18006583
Raza Waheed
Contents Executive Summary 3 Introduction 3 1.1: Aims and Objectives 3 1.2: The Structure of the Report 3 Section 2 3 2.1: The Two Main Sources of Crime Statistics 3 2.2: How Have Levels of Crime Changed Over the Years 4 2.2.1: Violent and Sexual Crime 4 2.2.2: Property Crime 5 Section 3 6 3.1: Positive and Negative Incentives 6 3.1.1: Incarceration Effect 8 3.1.2: The Market Model of Crime 9 3.1.3: Supply of Offences 10 3.2: Implications of Positive and Negative Incentives 10 Section 4 11 Quantifying the Cost of Crime 11 Conclusion 13 Table of Figures 13 References 14 Books 14 Websites 14
Executive Summary * Crime rates in the UK and Wales showed an increase in crime till around 1995 where it peaked. * Over the last couple of years, there has been a relatively small change in the crime levels. * Vehicle related theft has decreased the most out of all crimes as it has gone down by 65%. * Positive and Negative incentives both reduce the net return on crime through a higher number of policing on streets and an increase in employment opportunities. * Criminals are rational and respond to crime by incentives. * The government should only intervene in the cost of crime where the marginal benefit is greater than the marginal cost.
Introduction
1.1: Aims and Objectives
The main aims of this report is to examine the underlying trends in different types of crime and then to use economic evidence to illustrate the key findings by using positive and negative incentives.
1.2: The Structure of the Report
The structure of the report will be divided into three main parts. Section 2 will include data from the British Crime Survey 2009/10 showing recent trends in the incidence of crime and which types of crime have fallen the most. Section 3 of the report
References: Books Le Grand J, Propper C and Smith S, 2008 Cooter R and Ulen T, 2000. ‘Law and Economics’, Third Edition, Addison Wesley Publishing Company. Richardson H , 1978 Veljanovski C, 2007.’ Economic Principles of Law’. Cambridge University Press O’ Sullivan A, 2003 Tommasi M and Ierulli, 1995. ‘The New Economics of Human Behaviour’. Cambridge University Press , New York Websites