Citation

Demougin D, Schwager R. Int. Rev. Law Econ. 2003; 23(2): 217-225.

Copyright

(Copyright © 2003, Elsevier Publishing)

DOI

10.1016/S0144-8188(03)00028-0

PMID

unavailable

Abstract

We use a stylized model to show that, if transfers to the poor are founded on a security argument, there is a negative trade-off between law enforcement expenditures and criminality. In contrast, if transfers are based on altruism, the correlation between the same variables may appear positive. We argue that this provides a plausible explanation for the startling difference between the USA and Europe in crime statistics and law enforcement expenditures.