Posted by Paul Cassell:
Rebuttal of Ayres and Donohue Claim of "More Guns,  More Crime"
http://volokh.com/archives/archive_2009_01_11-2009_01_17.shtml#1231870158


   A new article has recently appeared in a peer-reviewed journal on the
   issue of whether "shall issue" right-to-carry concealed weapons laws
   (reqwuiring authorities to issue concealed-weapons weapons to anyone
   who applies without a criminal record or history of mental illness).
   The article, [1]found here, concludes that such laws are generally
   beneficial.

   The article, written by Carlisle Moody and Thomas Marvell, rebuts the
   2003 article in the Stanford Law Review by [2]Ian Ayres and John
   Donohue. Ayres and Donohue found (contrary to the seminal work of
   [3]John Lott and David Mustard) that shall-issue laws actual lead to
   an overall increase in crime. Here is how Moody and Marvell describe
   their findings:

     While reading Ayres and Donohue�s 2003 article in the Stanford Law
     Review, we noticed that their analysis did not prove what they said
     it proved. They claimed that their model proved that shall-issue
     laws increased crime. Our conclusions are as follows.

     Many articles have been published finding that shall-issue laws
     reduce crime. Only one article, by Ayres and Donohue who employ a
     model that combines a dummy variable with a post-law trend, claims
     to find that shall-issue laws increase crime. However, the only way
     that they can produce the result that shall-issue laws increase
     crime is to confine the span of analysis to five years. We show,
     using their own estimates, that if they had extended their analysis
     by one more year, they would have concluded that these laws reduce
     crime. Since most states with shall-issue laws have had these laws
     on the books for more than five years, and the law will presumably
     remain on the books for some time, the only relevant analysis
     extends beyond five years.

     We extend their analysis by adding three more years of data,
     control for the effects of crack cocaine, control for dynamic
     effects, and correct the standard errors for clustering. We find
     that there is an initial increase in crime due to passage of the
     shall-issue law that is dwarfed over time by the decrease in crime
     associated with the post-law trend. These results are very similar
     to those of Ayres and Donohue, properly interpreted.

   Moody and Marvell's findings seem plausible to me.

References

   1. http://www.econjournalwatch.org/main/index.php
   2. http://islandia.law.yale.edu/ayers/Ayres_Donohue_article.pdf
   3. 
http://www.press.uchicago.edu/presssite/metadata.epl?mode=synopsis&bookkey=39095

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