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The Effect Of Workfare Policy On Crime

Susumu Imai, Peter Fallesen, Lars Geerdsen and Torben Tranaes ()

No 1236, Working Paper from Economics Department, Queen's University

Abstract: In this paper, we focus on a novel and potentially important aspect of theworkfare policy in the Danish labor market, namely its effect on crime.We do this by exploiting two policy changes. First, we examine the effect of a series of national welfare reforms introduced during the 1990s. Those reforms strengthened the work requirement for the young welfare recipients and were introduced gradually, starting with younger welfare participants first. We exploit the differential introduction of workfarereform across different age groups as the exogenous variation. Second, we use a unique policy experiment that began in 1987 by an innovative mayor of the Danish city of Farum, where he imposed a 100 % work or training requirement for all welfare recipients immediately from the date of enrollment. By comparing the changes in crime rates among the welfare recipients in Farum before and after 1987 with that ofthe rest of Denmark, we identify the effect of workfare on the crimerate.

Keywords: Workfare; Crime; Welfare (search for similar items in EconPapers)
JEL-codes: H53 J68 K42 (search for similar items in EconPapers)
Pages: 59 pages
Date: 2010-04
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6)

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