An Examination of Neighborhood Crime and Local Business Activity

• In Event: Land Use, Crime, and Place Management

Abstract

Over the past three years, local and national news reports of business closures have frequently cited safety concerns or property damage as justification for businesses closing or moving out of urban locations (Herlihy, 2023) and survey respondents report that fear of crime has influenced their decisions to visit large cities (Saad, 2022). As businesses in large U.S. cities recover from Covid-19-related shutdowns during 2020 (and beyond), the potential for crime to dissuade possible customers from visiting restaurants or stores could be detrimental for local economies. We examine the association between neighborhood violent and property crime rates and visits to local restaurants and/or retail established in U.S. cities. We draw on theories of social disorganization and fear of crime to answer the following research questions: (1) what is the relationship between neighborhood violent and/or property crime and visits to local restaurants, retail establishments, and public spaces (e.g. parks, libraries)?; (2) does the relationship between neighborhood violent and/or property crime and visits to local businesses vary across places with different Covid-19 policies between 2020 and 2022)?; (3) if crime deters visits to local business, is there a displacement effect wherein people visit “safer” areas in the city?

Authors

• David Michael Ramey, Penn State University

• Sheridamae Bondoc Gudez, Penn State University