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Abstract

The relationship between income levels and crime has long been studied by social welfare scholars and poverty-centered academia. It is a relationship that most people intuitively believe to be negative in nature. That is, as personal incomes increase in a community, levels of violent crime decrease. This is the foundational social paradigm upon which western scholars view and study poverty and social welfare policy. It is this intuition that I attempt to test here in my undergraduate thesis. This study examines the relationship between government cash transfers as a means of maintaining incomes and its effects on rates of violent crime. Specifically, I examine public records of communities in the past that have been a part of a governmental cash transfer program directly over a period of time and cross-referencing these *artificial* income injunctions with changes in the rates of violent crime. I run a statistical regression on varying communities of socioeconomic conditions to determine a correlation between government led income growth, non-government led income growth, and rates of violent crimes in the short-run, as well as the long-run; making adjustments for inflation where necessary. I also highlight human voices in this study by conducting interviews on participants of periodic unconditional stimulus within communities of high violence and low-income. Highlighting these voices allowed me to gauge the extent and context in which individuals in low-income areas spend governmental additional wage subsidies. Ultimately, I demonstrated that cash stimuli are useful not only in alleviating community poverty, but also as a statistically significant method of reducing rates of violent crime in the short-run. My findings also demonstrate the means in which cash stimuli proves to temporarily curb violent crimes in communities in which the spending power of individuals are most affected by direct cash infusions. These findings can contribute greatly to the manner by which government resources are directed at alleviating poverty or violent crime. The implications behind statistically significant results in the short-run, imply that government stimulus checks can serve as a powerful temporary remedy in times of social unrest, whereas my qualitative findings demonstrate that the effectiveness of government cash transfers on perceived community levels of safety depends on the means by which such transfers are made equally accessible.

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