Speaker: Giuseppe Maggio , FAO
Title: Shooting Down the Price: Evidence from Mafia Homicides and Housing Market Volatility.
In this work we assess the role of a specific type of organized crime in influencing choices on where living within the city territory, and consequently, inequality in house prices. More specifically, we test how organized crime killing may influence house pricing behaviors. Firstly, we show evidences about how organized crime is associated with higher inequality of housing prices for Italian cities in 2011. Then, by collecting and geo referencing data on the city of Naples for the period 2003-2016, we study how homicides of unaffiliated individuals impact the housing price of the relevant and neighboring districts. Results show a negative and significant impact of killing on the house prices either for sales or for rents and a positive effect in neighboring district, driving increases in within-city inequality.