Record Details

Crime and Its Socio-Macroeconomics Determinants: A Panel-Error-Correction Cointegration Analysis

Jurnal Ekonomi Malaysia

View Archive Info
 
 
Field Value
 
Title Crime and Its Socio-Macroeconomics Determinants: A Panel-Error-Correction Cointegration Analysis
 
Creator Abdul Hamid, Baharom
Habibullah, Muzafar Shah
Mohd Noor, Zaleha
 
Subject Crime; economic variables; panel-error correction based cointegration
—
 
Description ABSTRACTThis study investigates the relationship between crime and socio and macro economic variables such as income,unemployment, inflation, interest rate, and also the political violence, both domestic and regional. The main motivationof the study is to have a better understanding of crime as well as finding and suggesting alternative ways of approachingcrime. We analyzed 21 countries, with data spanning from 1960 to 2001.We adopted the model and framework introduced by Viren (2001) based on Becker (1968), Block and Heineke (1975). However, we slightly modified by rephrasing it in order not to only capture the long run relationship but also the short run adjustment. We employed the panelerror- correction based cointegration (Persyn and Westerlund (2008)) to analyze and estimate the model. A number of important findings are extracted from the analysis in accordance to the objectives of this study. Firstly, we discover a negative long run relationship between income and crime; positive long run relationship between inflation and crime; unemployment and crime; as well as lending rate and crime. As for the political violence variable, domestic political violence seems to be negatively related; on the contrary regional political violence is positively related. We believe this might be attributed to the spillover effect. All the signs are as anticipated and justified in this study; and are concurrent with most of the past literatures.Keywords: Crime; economic variables; panel-error correction based cointegrationABSTRAKKajian ini menyelidik perhubungan di antara jenayah dan pembolehubah ekonomi sosio dan makro seperti pendapatan, penggangguran, inflasi, kadar faedah serta jenayah politik, merangkumi domestik dan wilayah. Motivasi utama kajian adalah demi mendapat pemahaman lebih baik mengenai jenayah serta mendapatkan hasil kajian serta mencadangkan cara alternatif memerangi jenayah. Kami menganalisis 21 negara, data mencakupi tahun 1960 hingga 2001. Kami mengadaptasi model serta kerangka yang diperkenalkan oleh Viren (2001) berasaskan Becker (1968), Block dan Heineke (1975). Walau bagaimanapun, kami membuat sedikit pengubahsuaian dengan hasrat bukan sahaja mendapat kesan jangka panjang, tapi juga penyesuaian jangka pendek. Kami menggunakan Kointegrasi Pembetulan Ralat Panel (Persyn and Westerlund (2008)) untuk menganalisa dan meramal model. Sejumlah hasil dapatan dapat ditemui dari analisis ini bersandarkan objektif kajian. Pertama, kami mendapati terdapat hubungan jangka panjang negatif diantara pendapatan dan jenayah; hubungan positif jangkapanjang diantara inflasi dan jenayah; penggangguran dan jenayah; serta kadar faedah dan jenayah. Manakala untuk jenayah politik, jenayah politik domestik didapati berhubungan negatif; berlawanan dengan kekejaman politik wilayah yang berhubungan positif. Kami percaya ini mungkin diakibatkan oleh kesan limpahan. Kesemua dapatan kajian adalah seperti diramal dan dijustifikasikan didalam kajian ini; dan selari dengan kebanyakan kajian lampau.Kata kunci: Jenayah; pembolehubah ekonomi; Kointegrasi Pembetulan Ralat Panel
 
Publisher Universiti Kebangsaan Malaysia
 
Contributor —
 
Date 2013-12-31
 
Type info:eu-repo/semantics/article
info:eu-repo/semantics/publishedVersion
Peer-reviewed Article
 
Format application/pdf
 
Identifier http://ejournal.ukm.my/jem/article/view/7262
 
Source Jurnal Ekonomi Malaysia; Vol 47, No 2 (2013): Jurnal Ekonomi Malaysia; 13-24
0126-1962
 
Language eng
 
Relation http://ejournal.ukm.my/jem/article/view/7262/2916