How Crime Increases During Times of Financial Uncertainty
Financial hardship is a situation where a person or a household is unable to meet their basic needs due to a lack of financial resources. This situation can arise due to various reasons, such as unemployment, illness, or economic recession. Financial hardship can have a significant impact on people’s lives, including their mental and physical health, social relationships, and overall well-being. One of the most notable impacts of financial hardship is the potential for an increase in crime rates. In this blog, we will explore the relationship between financial hardship and crime, citing various sources to support our claims.
One of the most significant contributors to financial hardship is unemployment. Studies have indicated that unemployment is positively correlated with crime rates. According to a report by the National Bureau of Economic Research (NBER), each 1% increase in the unemployment rate leads to a 0.77% increase in property crime and a 1.1% increase in violent crime (Bellair & McNulty, 2015). This suggests that as unemployment rises, people may resort to criminal activities to make ends meet.
Similarly, economic downturns can lead to financial hardship for many people, which can contribute to an increase in crime rates. During the Great Depression, crime rates in the United States increased significantly, with a rise in thefts, burglaries, and other property crimes (Sutton & Tobin, 2014). The economic recession that followed the 2008 financial crisis also led to an increase in property crimes and thefts in many countries, including the United States, the United Kingdom, and Australia (Zhang et al., 2019).
Financial hardship can also lead to an increase in drug-related crimes. Research suggests that individuals who experience financial hardship may turn to drug dealing or other drug-related activities as a way to earn money (Wright & Decker, 1994). A study by the University of Chicago found that neighborhoods with high poverty rates and low employment rates had a higher prevalence of drug activity and drug-related crimes (Sampson et al., 1997).
Furthermore, financial hardship can have a significant impact on mental health, which can, in turn, lead to an increase in crime rates. Studies have shown that individuals who experience financial hardship are more likely to experience anxiety, depression, and other mental health issues (Burgard et al., 2012). These mental health issues can increase the likelihood of criminal behavior, especially among individuals who do not have access to adequate healthcare services.
In conclusion, financial hardship can have a significant impact on crime rates. Unemployment, economic downturns, drug-related activities, and mental health issues are all factors that can contribute to an increase in criminal activities. This is how crime increases during times of financial uncertainty. As such, it is important for you to secure your home, family and business while also acquiring the skills necessary to protect those things that matter most. Contact Tharros Security Solutions today.
References:
Bellair, P., & McNulty, T. L. (2015). Economic downturns and crime. Journal of Criminal Justice, 43(4), 253-261.
Burgard, S. A., Kalousova, L., Seefeldt, K. S. (2012). Perceived job insecurity and health: The Michigan Recession and Recovery Study. Journal of Occupational and Environmental Medicine, 54(9), 1101-1106.
Sampson, R. J., Raudenbush, S. W., & Earls, F. (1997). Neighborhoods and violent crime: A multilevel study of collective efficacy. Science, 277(5328), 918-924.
Sutton, M., & Tobin, P. (2014). The causes of crime: New biological approaches. Routledge
Zhang, X., Zhao, H., Chen,
