The Effect of Education Policy on Crime: An Intergenerational Perspective

Abstract

The intergenerational transmission of human capital and the extent to which policy interventions can affect it is an issue of importance. Policies are often evaluated on either short term outcomes or just in terms of their effect on individuals directly targeted. If such policies shift outcomes across generations their benefits may be much larger than originally thought. We provide evidence on the intergenerational impact of policy by showing that educational reform in Sweden reduced crime rates of the targeted generation and their children by comparable amounts. We attribute these outcomes to improved family resources and to better parenting.