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Douglas Campbell and Sarah Johnson
''The effect of municipal drug fund revenues on crime rates''
( 2015, Vol. 35 No.4 )
This paper examines the relationship between municipal drug fund revenues and crime rates in the Memphis, Tennessee metropolitan statistical area (MSA). Such revenues have garnered media attention in recent months for sometimes-controversial reasons. In some jurisdictions, these revenues are significant sources of funding for local police departments, although questions have been raised about the constitutionality of their sources, as well as their efficacy. Using data gathered from municipalities in the Memphis, TN MSA, in this paper we attempt to determine if those funds are effective at reducing crime rates. Our conclusion is that the funds have little impact on local crime rates, although we must note that a relatively small sample size might contribute to this lack of significance. Nonetheless, this paper contributes to the dialogue about the above issue.
Keywords: crime, public spending, drug funds
JEL: H3 - Fiscal Policies and Behavior of Economic Agents: General
Manuscript Received : Aug 22 2015 Manuscript Accepted : Nov 21 2015

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