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Full-Text Articles in Labor Economics

Economic Shocks And Crime: Evidence From The Brazilian Trade Liberalization, Rafael Dix-Carneiro, Rodrigo R. Soares, Gabriel Ulyssea Jul 2017

Economic Shocks And Crime: Evidence From The Brazilian Trade Liberalization, Rafael Dix-Carneiro, Rodrigo R. Soares, Gabriel Ulyssea

Upjohn Institute Working Papers

This paper studies the effect of changes in economic conditions on crime. We exploit the 1990s trade liberalization in Brazil as a natural experiment generating exogenous shocks to local economies. We document that regions exposed to larger tariff reductions experienced a temporary increase in crime following liberalization. Next, we investigate through what channels the trade-induced economic shocks may have affected crime. We show that the shocks had significant effects on potential determinants of crime, such as labor market conditions, public goods provision, and income inequality. We propose a novel framework exploiting the distinct dynamic responses of these variables to obtain …


The Rise Of The Maquiladoras And Crimes In Mexico, Christelle K. Bamona May 2017

The Rise Of The Maquiladoras And Crimes In Mexico, Christelle K. Bamona

Master's Theses

While it is generally argued that a stronger labor market is negatively associated with crime, there exists a “consensus of doubt” around the relationship between employment and crime. This paper examines the impact of the rise of female labor participation in manufacturing on various types of crimes in Mexico from 1998 to 2012. A fixed effects specification and an instrumental variable approach with regional and time fixed effects are employed to compare the crime rates in municipalities that were heavily exposed to local factory openings to municipalities that did not receive a labor shock of the same magnitude. By introducing …