Does crime really not pay?

Question

Because it would seem to me that the profit margins would be quite remarkable.

Great answers so far! However, I do see an absense of considering overhead costs - research and development costs, time spent casing locations, planning, purchase of getaway vehicles.

And let's not forget that there's other, less overhead intensive crime than blunt-force type jobs like bank robbery - white collar crime comes to mind.

Also, one has to calculate into prison time the fair market value of three healthy, hot meals per day, as well as a rent-free location (minus fines, of course).

Many things to consider here!

Answer 1

Hey Piper!
What you must do to accurately calculate the rewards of crime is consider the time spent in correctional facilities. as a result of crimes commited.

So let's say that you rob 6 banks before you get caught. You made 200K total in the robberies. That's just your split, you usually can't act alone to be really successful. Two brains better than one and all.

So after the 6 heists you have your 200K gross profit. But you get caught and convicted. Bummer! Now all is not lost you still have the 200K so divide the 200K by the amount of years until you get out. So let's say you get a good judge and all goes your way, the witnesses were crappy, etc. You only get 15 years.

200K divided by 15 yrs. that's $13,333. per year. But of course you will have the whole 200K when you get out. At $13,333 it will last you 15 years. So, is it worth if based upon calculations such as these? Because these factors are generally pretty close to correct unless you are really a very, very intelligent crook. And if you are in that category, then it could work out better. But then again there is the risk.

How much do you hate work? How much do you enjoy freedom?
You just can't usually have it both ways. Freedom and the money. If it worked the prison system wouldn't be overflowing.

Best of luck,

Answer 2

From your question, I take it you're questioning the profit margin in stealing someone's possessions and then selling them on the street or a pawn shop.

Perhaps the profits would be there, however, at some point, individuals who choose this route do get caught. Then what do they do for themselves? They are stuck in jail, or on probation, sometimes both and when they get out into the real world, all they've ever known is a life of crime. Then they become the burden of Social Services, in effect, a burden to us all. They have to learn a new skill, preferrably, one that is legal and hope that they are able to obtain employment that will pay as good as their life of crime did.

My personal opinion, it's not worth it. I've always told my daughters, don't do anything in life that you wouldn't want posted on the front page of a newspaper - perhaps all ppl should live by that thought!

Answer 3

You should read Crime and Punishment: An economic approach by Gary Becker. Becker is the first person to analyze crime through an economic point of view. He claims that criminals are rational beings that decide between committing a crime or joining the legal sector depending on the outcome they expect. In order to make a decision, criminals weight in the probability of being caught and the severance of the punishment.

Answer 4

All I'm saying, is if you are going to go down, go down for something big enough to justify the time you will do. I wouldn't do it for anything less than Bill Gates magnitude.