How Crime Affects Economic Performance Through the Application of the ECM-Model : The Case of Guatemala

The impact of crime on economic growth is obviously substantial, but measuring the degree of its effects on a country's economic performance is subject to a great deal of uncertainty. This paper primarily attempts to close this gap using the economics of crime monitoring model, a new economic instrument that could be used to evaluate the impact of crime on economic performance. Guatemala was used to illustrate the applicability of the model from where analyses provide a coherent evaluation of the degree to which crime can affect a country's economic performance