Skip to main content
Go to the home page of the European Commission (opens in new window)
English en
CORDIS - EU research results
CORDIS

Clean evidence on dirty deeds

Project description

A closer look at organised crime

Organised crime flourishes in countries with high levels of corruption, political instability and violence, and limited economic growth. However, causal evidence on the economic and political consequences of organised crime is insufficient. The EU-funded CLEAN project will increase our understanding of organised crime’s effects on the distribution and efficacy of public spending. Moreover, it will investigate organised crime’s effects on public procurement and subsidies to private companies as well as the practices which lead corrupted politicians to direct public funding to criminal groups. It will also study the effects of the immigration of criminal groups in the cases of Italy and the Netherlands and the arrival of mafia members into the US during the prohibition era.

Objective

Organized crime is systematically associated with lower economic development and higher corruption, political instability and political violence across countries. However, causal evidence on the economic and political effects of organized crime remains limited.
The present proposal advances our knowledge of organized crime in two main directions. First, I will explore the effects of organized crime on the allocation and effectiveness of public spending, focusing on two important areas of government spending: public procurement and public subsidies to private firms. This analysis will advance our knowledge of the practices through which captured politicians can distort the allocation of resources in favour of criminal organizations, their implications for the efficiency of government intervention, and the effectiveness of alternative policy responses.
Second, whilst previous research has focused almost exclusively on the traditional areas of origin of criminal organizations, I will study the effects of criminal groups moving to new regions and countries. I will focus in particular on three different contexts: i) the “transplant” of criminal organizations from southern to northern Italian regions; ii) interactions of immigrants and natives in criminal activity in the wake of recent migration to the Netherlands; and iii) the inflow of members of the Sicilian Mafia into the US during the period of alcohol prohibition (1920-1933). The present proposal will advance our understanding of how criminal groups can relocate to new regions and countries; their interactions with the criminal groups that may already be present there; and the economic and social effects in the areas of destination. From a methodological perspective, all projects will take advantage of unique micro-level data and state-of-the-art econometric methods for impact evaluation to provide clean evidence on causal relationships.

Fields of science (EuroSciVoc)

Keywords

Programme(s)

Topic(s)

Funding Scheme

ERC-COG - Consolidator Grant

See all projects funded under this funding scheme

Call for proposal

(opens in new window) ERC-2019-COG

See all projects funded under this call

Host institution

UNIVERSITA COMMERCIALE LUIGI BOCCONI
Net EU contribution
€ 1 770 838,00
Address
VIA SARFATTI 25
20136 Milano
Italy
Region
Nord-Ovest Lombardia Milano
Activity type
Higher or Secondary Education Establishments
Links
Total cost
€ 1 770 838,00

Beneficiaries (1)