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Crime and regional economic growth in Mexico: A spatial perspective
Author(s) -
TorresPreciado Víctor Hugo,
PolancoGaytán Mayrén,
TinocoZermeño Miguel A.
Publication year - 2017
Publication title -
papers in regional science
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.937
H-Index - 64
eISSN - 1435-5957
pISSN - 1056-8190
DOI - 10.1111/pirs.12205
Subject(s) - spillover effect , panel data , perspective (graphical) , economic geography , growth model , spatial dependence , spatial econometrics , economics , geography , econometrics , development economics , macroeconomics , mathematics , statistics , geometry
The aim of this paper is to examine the effects of crime on regional economic growth in Mexico. We estimate a growth model using a spatial panel data model and test for the presence and type of spatial interaction, as proposed by Elhorst. Our results suggest that a two‐way spatial Durbin model best fits the data, crime exerts a negative total effect on economic growth across Mexican states, particularly homicides and robbery, and significant spillover effects seem to reinforce the negative impact on regional growth.