This paper investigates the influence of friends on crime, using data I collected among the homeless. To estimate the causal effects of friends and of the share of criminal friends on crime, I rely on two instruments. The first is the share of rainy days during one's first year as homeless: rainfall fosters homeless's concentration in sheltered places and increases the probability of interactions. The second is the share of inmates released during one's first year as homeless, which a¤ects the supply of criminal friends. I find that one additional friend decreases the probability of incarceration but criminal friends increases it.
Corno, L., Homelessness and crime: Do your friends matter?, <<ECONOMIC JOURNAL>>, 2016; (forthcoming): n/a-n/a. [doi:10.1111/ecoj.12316] [http://hdl.handle.net/10807/80773]
Homelessness and crime: Do your friends matter?
Corno, LuciaPrimo
2016
Abstract
This paper investigates the influence of friends on crime, using data I collected among the homeless. To estimate the causal effects of friends and of the share of criminal friends on crime, I rely on two instruments. The first is the share of rainy days during one's first year as homeless: rainfall fosters homeless's concentration in sheltered places and increases the probability of interactions. The second is the share of inmates released during one's first year as homeless, which a¤ects the supply of criminal friends. I find that one additional friend decreases the probability of incarceration but criminal friends increases it.
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