CSAC Bulletin Article

The Impact of Theft Penalties on Property and Larceny Crime Rates

February 26, 2016

The Pew Charitable Trusts recently published a report “The Effects of Changing State Theft Penalties ” which focuses on the changes in felony theft thresholds. There were 30 states that changed their felony theft thresholds ranging from $500-$2,500. The Pew Charitable Trusts conducted a panel fixed-effects approach with 23 states where they evaluated if the increase in threshold had an impact on property or larceny crime.

The key findings on this study concluded that: the increase in felony theft threshold does not impact the overall property crime or larceny rates; there is no correlation between the specific amount in felony theft threshold and property crime; and the states that increased their threshold had the same average reduction in crime. The U.S. overall property crime rate is on a steady decreasing trend.

Other contribution factors for an overall reduction are bettering policing, aging population, increase in technological advances for security and digital transactions. California implemented the theft threshold change in 2010 to $950 and although property crime rates slightly increased in 2012, there was no statistic significant impact on the crime trend. The downward crime trend is consistent with the other states.

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