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The Effects Of Unemployment On Crime Rates

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The Effects of Unemployment on Crime Rates Introduction Crime and poverty often seem to go hand in hand in the modern world, or so is the perception. With poverty rates edging higher this is even more important in our modern day. The unemployment rate is one of the key indicators of the health of our economy. The standard of living for most people falls greatly once they have reached the poverty rate, which makes people live nervously, frantically, and gives greater incentive for them to commit a crime possibly just to get by. In 2007 when the major economic recession took place, the unemployment rate started to rise steadily, peaking at an annual average of 10% in 2009, which was 5% higher than the average the four years prior.1 In this study, we will attempt to examine the relationship, if any, between criminal activity and the unemployment rate. My hypothesis is that higher unemployment leads to higher crime rates. Our belief stems from the fact that the cities in the United States with the highest crime rates all have a poverty level higher than the U.S. average of 15.1%.2 For Example, Detroit had the highest reported violent crime rate of 2,072/100,000 people, with almost 40% of their population living below the poverty level.3 The idea is that those without a moderate and consistent income have a greater incentive to commit crimes than those with a steady income, who may have a lot more to lose if they are discovered committing these crimes. Understanding the

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