Title
Unobserved Heterogeneity Bias When Estimating The Economic Model Of Crime
Abstract
Using unique and unpublished panel data from selected US cities, the paper investigates the consequences of ignoring unobserved heterogeneity in the unit of observation when estimating the economic model of crime. Results confirm that neglecting to control for unobserved heterogeneity overstates the ability of sanctions to deter criminal activity. Further, this upward bias is found to vary significantly across crime types. Interestingly, heterogeneity is insignificant in the tightly reported crimes of murder and auto-theft while being significant in assault, robbery, burglary and larceny where individuals and police have greater discretion in reporting.
Publication Date
1-1-1999
Publication Title
Applied Economics Letters
Volume
6
Issue
11
Number of Pages
753-757
Document Type
Article
Personal Identifier
scopus
DOI Link
https://doi.org/10.1080/135048599352349
Copyright Status
Unknown
Socpus ID
0040355965 (Scopus)
Source API URL
https://api.elsevier.com/content/abstract/scopus_id/0040355965
STARS Citation
Cherry, Todd L., "Unobserved Heterogeneity Bias When Estimating The Economic Model Of Crime" (1999). Scopus Export 1990s. 3854.
https://stars.library.ucf.edu/scopus1990/3854