Name File Type Size Last Modified
  Replication package March2024 05/15/2024 07:28:PM

Project Citation: 

Fenizia, Alessandra, and Saggio, Raffaele. Data and Code for Organized Crime and Economic Growth: Evidence from Municipalities Infiltrated by the Mafia. Nashville, TN: American Economic Association [publisher], 2024. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2024-05-28. https://doi.org/10.3886/E197843V1

Project Description

Summary:  View help for Summary This paper studies the long-run economic impact of dismissing city councils infiltrated by organized crime. Applying a matched difference-in-differences design to the universe of Italian social security records, we find that city council dismissals (CCDs) increase employment, the number of firms, and industrial real estate prices. The effects are concentrated in Mafia-dominated sectors and in municipalities where fewer incumbents are re-elected. The dismissals generate large economic returns by weakening the Mafia and fostering trust in local institutions. The analysis suggests that CCDs represent an effective intervention for establishing legitimacy and spurring economic activity in areas dominated by organized crime.

Scope of Project

Subject Terms:  View help for Subject Terms City Council Dismissals; Mafia; Policy Evaluation; government corruption
JEL Classification:  View help for JEL Classification
      D73 Bureaucracy; Administrative Processes in Public Organizations; Corruption
      G38 Corporate Finance and Governance: Government Policy and Regulation
      K42 Illegal Behavior and the Enforcement of Law
Geographic Coverage:  View help for Geographic Coverage Italy
Time Period(s):  View help for Time Period(s) 1991 – 2016
Data Type(s):  View help for Data Type(s) census/enumeration data; program source code


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