Does It Pay to Fight Crime? Evidence from the Pacification of Slums in Rio de Janeiro

84 Pages Posted: 11 Feb 2019 Last revised: 2 Dec 2019

See all articles by Christophe Bellégo

Christophe Bellégo

CREST (Center for Research in Economics and Statistics) - ENSAE (National School for Statistics and Economic Administration)

Joeffrey Drouard

University of Rennes 1

Date Written: January 31, 2019

Abstract

Using Rio de Janeiro’s slum pacification program initiated in 2008, we study the effect of policies aimed at fighting drug gangs on crime. By combining a proxy variable with a simple structural model, we correct the bias resulting from the increase in unobserved crime reporting. We find that the program decreased the murder and the robbery rates by 7% and 34% respectively. However, the assault and the threat rates increased by 51% and 60% respectively. Absolute and marginal crime deterrence effects and a gang governance effect, namely that gangs can provide security to their turf, explain our results.

Keywords: Crime, Criminal Governance, Reporting Bias, Pacification Policy, Drug Gangs, Brazil

JEL Classification: D74, H76, K42

Suggested Citation

Bellégo, Christophe and Drouard, Joeffrey, Does It Pay to Fight Crime? Evidence from the Pacification of Slums in Rio de Janeiro (January 31, 2019). Available at SSRN: https://ssrn.com/abstract=3326563 or http://dx.doi.org/10.2139/ssrn.3326563

Christophe Bellégo

CREST (Center for Research in Economics and Statistics) - ENSAE (National School for Statistics and Economic Administration) ( email )

Palaiseau
France

Joeffrey Drouard (Contact Author)

University of Rennes 1 ( email )

7 place Hoche
Rennes, 35065
France

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
72
Abstract Views
623
rank
352,689
PlumX Metrics