2005
DOI: 10.1111/j.0013-0427.2005.00429.x
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Unhappiness and Crime: Evidence from South Africa

Abstract: This paper is the first of its kind to study quality of life responses of crime victims. Using cross-sectional data from the OHS97 survey of South Africa, we show that victims report significantly lower well-being than the non-victims, ceteris paribus. The calculated 'compensating variation' suggests that it would take, on average, an extra $10,000 per month to offset the psychological costs of crime. Happiness is lower for nonvictimized respondents currently living in higher crime areas. However, we find a st… Show more

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Cited by 175 publications
(146 citation statements)
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“…While the insights suggest that the fear of terror or crime has a negative impact on the physical wellbeing, there was no evidence for an influence on the psychological wellbeing, nor has fear of crime shown to decrease the overall level of happiness as discussed in prior studies (Cornaglia et al, 2004;Powdthavee, 2005;Ross, 1993;Tella et al, 2008). The insights rather echo the results of Michalos and Zumbo (2000), whose findings also could not establish a distinct relationship between crime-related issues and decreased life satisfaction.…”
Section: Discussionmentioning
confidence: 71%
“…While the insights suggest that the fear of terror or crime has a negative impact on the physical wellbeing, there was no evidence for an influence on the psychological wellbeing, nor has fear of crime shown to decrease the overall level of happiness as discussed in prior studies (Cornaglia et al, 2004;Powdthavee, 2005;Ross, 1993;Tella et al, 2008). The insights rather echo the results of Michalos and Zumbo (2000), whose findings also could not establish a distinct relationship between crime-related issues and decreased life satisfaction.…”
Section: Discussionmentioning
confidence: 71%
“…The SWB approach has previously been applied to environmental issues (e.g. Welsch 2002Welsch , 2006Rehdanz and Madison 2005;van Praag and Barsma 2005;Luechinger 2009;Ferreira and Moro 2010;Levinson 2012) and to various societal phenomena, including inflation and unemployment (Di Tella et al 2001), crime (Powdthavee 2005), civil conflict (Welsch 2008a), corruption (Welsch 2008b) and terrorism (Frey et al 2009). Since SWB regressions typically include people's income, calculating the utility-constant trade-off between income and the non-market good in question provides a tool for non-market valuation (see Welsch and Kühling 2009 for a review and discussion).…”
mentioning
confidence: 99%
“…Local labour market conditions in turn depend on labour supply and therefore on the factors which affect household location decisions, including house prices and amenities. Following the seminal contribution by 5 Winkelmann and Winkelmann (1998), Frey and Stutzer (2000), Clark and Oswald (2002), Frey, Luechinger and Stutzer (2004), Powdthavee (2005) 6 Di Tella, MacCulloch and Oswald (2001) 7 Clark (2001), Shields and Wheatley Price (2002), Kristensen and Westergård-Nielsen (2004) 8 Carlsen andJohansen (2004,2005) 9 Lévy-Garboua, Lohéac and Fayolle (2006) Roback (1982), most empirical studies of capitalization handle the two-ways causality between amenities and job opportunities by estimating two equations explaining house prices and wages as functions of amenities. The value of an amenity is imputed from the estimated coefficients of the amenity in both equations.…”
Section: Empirical Strategymentioning
confidence: 99%