Mafia Firms and Aftermaths

33 Pages Posted: 25 Oct 2019

See all articles by Maria Rosaria Alfano

Maria Rosaria Alfano

Second University of Napoli - Public Finance and Taxation

Claudia Cantabene

Second University of Naples

Damiano Bruno Silipo

University of Calabria

Date Written: October 25, 2019

Abstract

We use a unique and unexplored dataset to investigate the determinants and effects of mafia firms in Italy. Mafia may use several tools to expand its firms. However, in this paper, we show that they prefer political corruption to violence to expand mafia firms. In particular, they use the latter more to build up their reputation in new established regions. Mafia firms hamper entrepreneurial activity but they can have beneficial effects on unemployment if mafia firms add to not substitute current economic activities. Policy makers should take account of this twofold effects of mafia firms.

Keywords: Organized Crime, Mafia Firm, Mafia and Development

JEL Classification: D02, K14, L11

Suggested Citation

Alfano, Maria Rosaria and Cantabene, Claudia and Silipo, Damiano Bruno, Mafia Firms and Aftermaths (October 25, 2019). FEEM Working Paper No. 21.2019. Available at SSRN: https://ssrn.com/abstract=3475376 or http://dx.doi.org/10.2139/ssrn.3475376

Maria Rosaria Alfano (Contact Author)

Second University of Napoli - Public Finance and Taxation ( email )

Dip. di Diritto ed Economia - Economia - SUN
Corso Gran Priorato di Malta
Capua, Caserta 81043
Italy

Claudia Cantabene

Second University of Naples

Via Antonio Vivaldi, 43
Caserta CE, 81100
Italy

Damiano Bruno Silipo

University of Calabria ( email )

Dipartimento di Economia Politica
87036 Arcavacata di Rende CS
Italy

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