【摘要】This paper examines the evolution of Mexico’s labor productivity (GDP per worker) across its 32 sub-national entities from 2003 to 2013; during a period of rising drug-related crimes. Using quarterly data and economic controls; fixed effects models suggest the effects of crime are small and differ depending on whether such crimes are prosecuted by state/local or federal authorities. However; results from System Generalized Methods of Moments regressions generate stronger responses for (endogenous) wages and labor productivity. First; crime has negative effects on Mexican labor productivity across states during the “war on drugs” period. Second;increases in expenditures on public security lead to falling labor productivity; which can be interpreted as indirect effects of crime. Third; federal authorities are found to be more effective (in not causing lower productivity) than state/local authorities.

【文献来源】Cabral R;Mollick A V;Saucedo E.Annals of regional Science.2016（2）