Question

Role of economic in criminality

Answer 1

Explanation:-

Economics of crime deals with the effect of incentives on criminal behaviour and the possible measures to reduce crime. Economic models not only predict and explain the behaviour of criminals, but can also be used to describe the causes of crime and the dynamic interaction between criminals and anti-crime measures.

Answer 2

$\huge\fbox\red{Answer:-}$

Economics of crime deals with the effect of incentives on criminal behaviour and the possible measures to reduce crime. Economic models not only predict and explain the behaviour of criminals, but can also be used to describe the causes of crime and the dynamic interaction between criminals and anti-crime measures.

Insight in the impact of incentives on criminal and terrorist behaviour is of major relevance for urban planners since criminals and terrorists will most likely alter their behaviour in reaction to taken security measures in order to fulfil their goals.

$\purple{☆}$ The standard economic model of crime is introduced in 1968 by Nobel Prize laureate Gary Becker. His work radically changed the way of thinking about criminal behaviour by demonstrating that not so much mental illness and social oppressions, but individual rationality, determines whether a person engages in criminal activities or not. Becker's rational criminal decides whether or not to commit crimes based on a cost-benefit analysis aimed at maximizing utility.

$\green{☆}$ Based on the assumption that the individual preferences are constant, rational choice theory can be used to predict how changes in the probability and severity of sanctions and in various socio-economic factors may effect the amount of crime.

$\orange{☆}$ The types of gains depend on the type of crime and the individual criminal: some are monetary gains, others are physical.

$\blue{☆}$ Examples of cost are material cost, psychic cost (guilt, anxiety, fear), expected punishment cost and opportunity cost.