Do the laws of supply and demand apply to crime? What factors contribute to the supply and quantity demanded?

Answer 1

Laws of supply and demand are universal.
The reason Russia has experienced and explosion in organized crime is because that is their only experience with capitalist society, so the natural societal evolution of an evolving republic is for the people with experience to use it. In America we have seen a degrees in organized crime as those in power have learned that they are actually businessmen. Corporate rules are the epitome of organized crime. Created by corporate lobbies specifically to keep corporations from paying taxes while sending its CEO’s to Vegas for a business meeting with hookers, all tax deductible mind you. Once the organized crime in Russia realizes this, they will morph into something more like us.

The laws of supply and demand are simple. IF you decrease the supply, the demand will increase. See, by waging war on oil countries we are decreasing the supply, and we can now raise the oil prices as high as we want, even though Shell Oil is a subsidiary holder of 150 off shore drilling platforms in the Gulf of Mexico alone. How many do Exon and Texaco own? What about BP, Amoco, Arco?

Yeh capitalism!* This is the situation that they have created for themselves while we sat here and methodically voted for the same person.

In the underworld, the laws of supply and demand can be slightly skewed. As most of those in that line of work are not the best at planning ahead, the price only seems to go up, even if there is an overabundance of supply. An unusual phenomenon none the less.

As far as applying to crime, if you take food away from people, they will do what they have to in order to eat.

A few other folks did that once, they were famous. What where their names, something like Washington, Franklin, Jefferson, Adams. Criminals every one.

There is a saying, so broke you can't pay attention. Or is it that only those that are broke pay attention?

Answer 2

One can gain some limited insights looking into crime this way. You can transform cost of crime to the potential of arrest and likely punishment, while the price of crime would be the likely profit.
Hence, more cops should increase arrest potential and increase cost of crime. More buyers of stolen goods should increase the demand for crime.
However, one can get very limited value out of this analysis and the problems that exist such as the assumption of perfect information are still in this framework when applied to crime
There are economists who study the economics of crime and I have read econometric models of motor vehicle theft. Some well known results are that unemployment results in significantly higher rates of crime and that when the price of drugs escalates, crimes such as petty theft and breaking into houses increase so addicts get the extra cash to pay for drugs. However, in the long term higher drug prices probably would reduce crime.

Answer 3

Supply and demand definitely apply to crime. But, in my opinion, the key concept in understanding the economics of crime is opportunity cost.

Answer 4

Sure do. Every time the economy turns down and money is short. watch the crime rates go up. If there is a shortage of drugs and the price for same goes up the addicts get desparate and the public suffer as they find ways to get their fix.

Answer 5

The regulation of grant and insist actual does practice to luxuries and antiques many times. What does the regulation of grant and insist say will take place? in basic terms that value will equate grant and insist. the quantity of antiques is fixed yet call for isn't and the cost has been bid as much as a level the place in basic terms specific human beings can take care of to pay for them and that they are keen to pay that value for them. that's talked approximately as efficient call for and that's the only call for that truly concerns; i could desire to have a Picasso in my living room yet I actual have been priced out of the industry as a results of fact I in basic terms make $60k a three hundred and sixty 5 days and it may take me a hundred years to attend to to pay for one. value has equated grant and insist. Granted, besides the undeniable fact that, there are some luxuries that don't stick to grant and insist yet this phenomenon can't be prolonged to all luxury products. those products are formally talked approximately as Veblen products, after the guy that first verified the phenomenon. Veblen products are products that prosperous human beings use to reveal their wealth, so they replace into greater appealing as their value rises.

Answer 6

Sure. One example: drugs.