The ecology of business environments and consequences for crime

Abstract

Research has typically focused on how certain types of business establishments are associated with the location of crime on street blocks. Studies in this genre, however, often have not accounted for the general business context of the block on which a business is located. This study uses a large sample of blocks in Southern California to test whether the context of businesses matters. We assess whether a nonlinear relationship exists between the total businesses on a block and crime, whether differences exist based on broad categories of businesses—consumer-facing businesses, blue-collar businesses, and white-collar businesses—and whether the mixing of businesses on a block impacts crime. The study finds strong evidence that blocks with more business mixing have higher levels of crime. A 1 standard deviation increase in business mixing is associated with 35%–95% more crime. The relationship between business mixing and crime is moderated by the size of the population on the block. Evidence also shows differences in relationships with crime between consumer-facing and white- or blue-collar businesses. Only modest evidence shows that specific business types are related to crime levels after accounting for this general business context.