• Media type: E-Book
  • Title: Formal Employment and Organized Crime : Regression Discontinuity Evidence from Colombia
  • Contributor: Khanna, Gaurav [Author]; Medina, Carlos [Other]; Nyshadham, Anant [Other]; Tamayo, Jorge A. [Other]
  • Corporation: National Bureau of Economic Research
  • imprint: Cambridge, Mass: National Bureau of Economic Research, 2019
  • Published in: NBER working paper series ; no. w26203
  • Extent: 1 Online-Ressource; illustrations (black and white)
  • Language: English
  • DOI: 10.3386/w26203
  • Identifier:
  • Reproduction note: Hardcopy version available to institutional subscribers
  • Origination:
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    Mode of access: World Wide Web
  • Description: Canonical models of crime emphasize economic incentives. Yet, causal evidence of sorting into criminal occupations in response to individual-level variation in incentives is limited. We link administrative socioeconomic microdata with the universe of arrests in Medellín over a decade. We exploit exogenous variation in formal-sector employment around a socioeconomic-score cutoff, below which individuals receive benefits if not formally employed, to test whether a higher cost to formal-sector employment induces crime. Regression discontinuity estimates show this policy generated reductions in formal-sector employment and a corresponding spike in organized crime, but no effects on crimes of impulse or opportunity
  • Access State: Open Access