An empirical analysis of the public spending decomposition on organized crime
30.11.-0001
Maria Berrittella, Carmelo Provenzano
C13; H50; K40.
GOVERNMENT EFFICIENCY; ORGANIZED CRIME; PUBLIC SPENDING.
The aim of this paper is to investigate, empirically, what components of
the public spending imply a decreasing effect on the organized crime and
what components create opportunities for the organized crime, discussing
also the role of government efficiency. The findings show a strikingly consistent pattern. Organized crime mainly operates in the distribution of the
public spending for health, housing and community amenities. There is a
decreasing effect on organized crime of the public expenditure devoted to education and to create morality values, such as the expenditure for recreation, culture and religion. Finally, government effciency in public spending
is beneficial for reducing the opportunities of the organized crime.