Which of the following is an economic issue that seems to have a direct impact on crime?

• A. Price elasticity of demand
• B. Inflation targeting
• C. Trade surplus
• D. Unemployment

Answer: (D)

Verified step by step guidance

1. Understand the concept of economic issues and their potential impact on social outcomes such as crime.
2. Review each option and consider how it might relate to crime: Price elasticity of demand relates to how quantity demanded changes with price, Inflation targeting is a monetary policy goal, Trade surplus relates to international trade balances, and Unemployment refers to the number of people actively seeking work but unable to find jobs.
3. Recognize that unemployment is often linked to crime rates because higher unemployment can lead to financial stress and fewer legitimate income opportunities, which may increase the incentive or pressure to commit crimes.
4. Analyze empirical studies or economic theories that connect unemployment with crime, noting that this relationship is more direct compared to the other options listed.
5. Conclude that among the options given, unemployment is the economic issue with a direct and significant impact on crime.