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Economics of Crime: Rational Offender and Moral Costs of Crime
Šilar, Milan ; Mlčoch, Lubomír (advisor) ; Gregor, Martin (referee)
Main weakness of economics of crime is that it focuses on rational offender who is isolated from society. This thesis gives overview of game theory models, which take into account possible reactions of other actors to offender`s actions. I show that some variables of crime are dependent on individual`s social environment and I analyze them using moral costs of crime, where some gains and losses from crime are interconnected between people. Two own models are presented. First model deals with aggregated crime with significant role of moral costs of crime. Second model is a modification of Inspection game which includes moral costs of crime and is than modeled using evolutionary game theory. Result of first model is higher volatility of crime than in standard models of rational offender. Crime is maximally volatile in time in the second model. There is a critical level of moral costs of crime and after reaching this level, assumptions of inspection game are violated and society converges to state with zero crime. It is demonstrated on both models that crime is a self- propagating phenomenon, because of social interactions.
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Vliv hazardu na kriminalitu: evidence z České Republiky
Lupač, Milan ; Dušek, Libor (advisor) ; Špecián, Petr (referee)
The focus of this thesis is to examine the relationship between gambling and crime in the Czech environment, where gambling is broadly available. Data about the individual gambling machines and tables together with the data about offenses in particular police districts were used in order to estimate the effect of gambling on crime. The final dataset observes 388 geographical units over the life span between April 2013 and December 2015. The study employs three estimation techniques the OLS, Poisson regression and Negative binomial regression to estimate the effect of gambling on crime. The main variable representing the size of gambling is the number of slot machines as these are the most broadly available type of gambling. The final estimated relationship between crime and slot machines is that one additional slot machine is associated with an increase in crime by 0.3-0.5% depending on the method and frequency. On the contrary, the effect of casino games, electromechanical roulettes, and dice devices on crime was found to be statistically insignificant. In addition, the study also analyses particular types of crimes, finding that gambling has an impact particularly on crimes that involve material benefits as opposed to the violent crimes. Moreover, it also conducts a what-if analysis demonstrating the estimated impact of reduction of gambling on the substantial drop of the number of offenses over the observed period was rather limited and account for 937 offenses.
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The potential of cannabis legalization in the Czech Republic
Holá, Jana ; Stroukal, Dominik (advisor) ; Špecián, Petr (referee)
The main aim of the thesis is to verify the correlation between cannabis use and the crime rate in accordance with the legalization of marijuana in Colorado 1. 1. 2014. Method difference in differences is used to analyze this problem by comparing Denver with Philadelphia. Philadelphia is the control group because legalization did not occur there. Panel data in monthly intervals for the period from 2006 to 2014 are used. The hypothesis in this thesis is a positive correlation between cannabis use and crime rates. The results of the regression analysis show that differences in number of all offenses per 100 000 inhabitants decreased by 11.83 units and differences in number of violent crimes per 100 000 inhabitants increased by 0.67 units after legalization of cannabis. Increase of violent crimes verified the hypothesis. However the hypothesis was not verified in case of all offenses. The Czech Republic is supposed to be similarly affected by eventual legalization of cannabis, which follows from an applying the results to the Czech Republic. In addition, the discussion shows that the Czech Republic could set a higher tax rate for cannabis than Colorado. If the funds gained from eventual legalization of cannabis in Czech Republic had been allocated properly in society, an increase of violent crimes could be lower.
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The economic and social costs of firearm regulation: Impacts of regulation of output, sale, export and import of firearms on state economy and citizens.
Kukač, Petr ; Procházka, Pavel (advisor) ; Hřebík, Tomáš (referee)
This thesis analyzes effect of firearm regulation on crime rate and selected macroeconomic indicators and compares the results with previous findings. The starting point is Gary Becker's economics of crime adapted to the topic of civilian gun ownership. It contains correlation analysis observing the interaction of legally held firearms and gun crime committed with those firearms. The result of the analysis is strong negative correlation between two variables. The second part of this thesis also contains crime statistics from selected OECD countries. The final part shows us the macroeconomic impact of regulation of civilian gun ownership. The result is that changes in gun policy will cause significant impact on employment, collected taxes, output and international trade.
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What are the determinants of ratio of free riders in public transportation?
Froňková, Pavlína ; Lahvička, Jiří (advisor) ; Koubek, Ivo (referee)
This paper presents a model that examines determinants of ratio of free riders in public transportation in the Czech Republic. The dataset consists of annual data from four cities over the time period of 11 years. The results show that 1% rise in the price of the ticket leads to 0,15% rise in the ratio of free riders. Also 1% rise in the leads to 0,25% decrease in the ratio of free riders. Despite the fact that the other two assumed determinants -- wage and the number of ticket inspectors -- are not statistically significant, I suppose it is mainly because of the short time period I am working with and I assume that those two variables are also important factors affecting ratio of free riders in public transportation.
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