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Are U.S. Cities Underpoliced? Theory and Evidence

Aaron Chalfin1; Justin McCrary2

1 University of Pennsylvania · 2 University of California, Berkeley

The Review of Economics and Statistics 2018 open access

Abstract We document the extent of measurement errors in the basic data set on police used in the literature on the effect of police on crime. Analyzing medium to large U.S. cities over 1960 to 2010, we obtain measurement error-corrected estimates of the police elasticity. The magnitudes of our estimates are similar to those obtained in the quasi-experimental literature, but our approach yields much greater parameter certainty for the most costly crimes, the key parameters for welfare analysis. Our analysis suggests that U.S. cities are substantially underpoliced.

DOI
10.1162/rest_a_00694
Volume
100 (1)
Pages
167-186
Language
en
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