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  • March 2004
  • Article
  • American Economic Review

Do Police Reduce Crime? Estimates Using the Allocation of Police Forces after a Terrorist Attack

By: Rafael Di Tella and Ernesto Schargrodsky
  • Format:Print
  • | Pages:19
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Abstract

An important challenge in the crime literature is to isolate causal effects of police on crime. Following a terrorist attack on the main Jewish center in Buenos Aires, Argentina, in July 1994, all Jewish institutions received police protection. Thus, this hideous event induced a geographical allocation of police forces that can be presumed exogenous in a crime regression. Using data on the location of car thefts before and after the attack, we find a large deterrent effect of observable police on crime. The effect is local, with no appreciable impact outside the narrow area in which the police are deployed.

Keywords

Law Enforcement; Crime and Corruption; Resource Allocation; National Security

Citation

Di Tella, Rafael, and Ernesto Schargrodsky. "Do Police Reduce Crime? Estimates Using the Allocation of Police Forces after a Terrorist Attack." American Economic Review 94, no. 1 (March 2004): 115–33.
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About The Author

Rafael M. Di Tella

Business, Government and the International Economy
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  • Causal Inference During A Pandemic: Evidence on the Effectiveness of Nebulized Ibuprofen as an Unproven Treatment for COVID-19 in Argentina By: Sebastian Calonico, Rafael Di Tella and Juan Cruz Lopez Del Valle
  • Does Social Media Cause Polarization? Evidence from Access to Twitter Echo Chambers during the 2019 Argentine Presidential Debate By: Rafael Di Tella, Ramiro H. Gálvez and Ernesto Schargrodsky
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