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A recent (September 2021) BBC News headline read as follows: "Asian gold has been targeted in a spate of housebreakings across Scotland with £200,000 worth stolen in just 10 days". An earlier article (in 2019) by researchers at the University of Glasgow found that, when the price of gold increased, neighbourhoods in Glasgow (Scotland) with a larger share of South Asians faced at disproportionate increase in property crime (gold theft) relative to other neighbourhoods.
Use the economic theory of decision making to explain why property crime (gold theft) increased when the price of gold increased and why neighbourhoods with a disproportionate share of South Asians were targeted.
When answering this question describe the likely benefits and costs associated with participating in this sort of property crime. What is the opportunity cost of engaging in crime?
How might you deter this sort of crime (what policies)?
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