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Determinants of Violent and Property Crimes in England and Wales: A Panel Data AnalysisSiddhartha BandyopadhyayUniversity of Birmingham - Department of Economics Samrat BhattacharyaFifth Third Bank - Asset Management Division Lu HanUniversity of Birmingham - The Birmingham Business School October 13, 2010 Abstract: We examine various determinants of property and violent crimes by using police force area level (PFA) data on England and Wales over the period 1992-2008. Our list of potential determinants includes two law enforcement variables, crime-specific detection rate and prison population, and various socio-economic variables such as unemployment rate, real earnings, proportion of young people and Gini Coefficient. By adopting a fixed effect dynamic GMM estimation methodology we attempt to address the potential bias that arises from the presence of time-invariant unobserved characteristics of a PFA and endogeneity of several regeressors. We find that, on average, higher detection rate and prison population leads to lower property and violent crimes. However, socio-economic variables play a limited role in explaining different crime types.
Number of Pages in PDF File: 31 Keywords: GMM, crime, dynamic panel, law enforcement, socio-economic variables JEL Classification: K42, C23 working papers seriesDate posted: October 13, 2010 ; Last revised: March 1, 2011Suggested CitationContact Information
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