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UNEMPLOYMENT, BOUNDS TEST (1) answer(s).
 
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Investigating causality among unemployment, income and crime in: evidence from the bounds test approach / Chen, Shyh-Wei   Journal Article
Chen, Shyh-Wei Journal Article
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Publication 2009.
Summary/Abstract This paper examines the long-run and causal relationships among unemployment, income and crime in Taiwan. The results clearly indicate that there is a long-run level equilibrium relationship among unemployment, income and total crime. There are also long-run relationships among unemployment, income and theft and among unemployment, income and economic fraud. The causality test results from the ECM-VAR and level VAR models indicate that there is a neutral relationship among unemployment, income and total crime, and a neutral relationship among unemployment, income and all three categories of crime. It is concluded that there is no strong evidence in favor of the unemployment-led crime (ULC) or the crime-led unemployment (CLU) hypotheses in Taiwan.
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