ABSTRACT
The most significant portion of a criminal justice policy benefit-cost analysis is likely to be the cost of criminal victimization—in particular, the valuation of intangible losses such as pain, suffering, and lost quality of life. This chapter reviews the methodologies employed by economists in estimating the cost of crime to victims and provides a basic understanding of the value and pitfalls of placing monetary values on crime. It explains why put dollar values on the intangible costs of crime? The chapter explores what criticisms have been offered against the economic approach to placing dollar values on the intangible impact of crime? It reviews alternative methodologies to measure the intangible costs of crime to victims. The chapter discusses the existing empirical literature and concludes with a research agenda for future studies.
