Abstract:
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Increasing crime is a major source of concern all over the world. In particular, it is a serious issue for India which ranks 143 in Global Peace Index (GPI) according to Australia's Institute for Economics and Peace (IEP). The problem becomes more serious due to lack of availability of reliable data. Using data from 2003-2007, we study the effect of Gross Enrolment Ratio, Poverty Head count Ratio, Human Development Index (HDI) and Number of unemployed persons on Number of Cognizable Crimes under the Indian Penal Code(IPC). We have data corresponding to all the 35 states and Union Territories of India. Data on number crimes and number of unemployed persons are suitably scaled by population of the corresponding states. Using these transformed variables and conducting panel analysis it is revealed that state effect and effect due to panel is significant(at 5% level of significance). Surprisingly, time effect is not significant. We also find that number of unemployed persons per population has an impact on the response variable. We also calculated the heteroscedasticity consistent standard error of the coefficients.
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