Article

Income Inequality and Crime in Turkey: A Panel Data Approach

Abstract

The main goal of this study is to determine whether there is a relation between crime and income inequality for Turkey’s 12 sub-regions during 2008-2018. For testing this relation, the panel data analysis was used which is the proper approach when a dataset has both cross-section and time dimensions together. The dependent variable of the study is the number of people who end up in prison which is used as the proxy of crime. Gini is selected as the main independent variable which is a proxy of income inequality. GDP per capita, unemployment rate, tertiary school enrollment rate and urbanization rate are the control variables of the model. The results reveal that there is a positive and significant relationship between income inequality and crime. Besides that, while GDP per capita and tertiary school enrollment effect the crime negatively, urbanization and unemployment effect positively. These results are compatible with the related literature. Accordingly these results, the policies which decrease the income inequality, unemployment and urbanization, and the policies which increase tertiary school enrollment and GDP per capita, are the deterrent factors of crime.

Keywords

Crime income inequality Turkey panel data analysis Driscoll-Kraay estimator.