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ely, the possibility or tendency of an individual to get involved in crime related activities would be greatly decreased, thus, relatively decreases the crime rate.

According to Pichaud (1997), unemployment can cause a humongous social and economic cost to a country’s budget. Every problem arises would have its consequences, for instance, when the unemployed are faced with financial problem, hence, those individuals will be in poverty and in debts due to the inability to pay up their levies. The matter would be worse for those individuals having to support their family members. Once the population is in the state of poverty, they would be thinking of possible ways, legally or illegally, to get money in order to support their daily life expenses. According to Ehrlich (1973), he predicted that when opportunity cost in illegal activity is low, then unemployed will get involved in criminal as they can get better payoffs. Therefore, there are certain kinds of criminal activity are directly linked to unemployment. Jahoda (1982) has linked unemployment to family disruption, suicide, health problem, drug addiction, malnutrition, poor prenatal care, school dropouts, racial and ethnic antagonism, and other possible social problems.

On the other hand, a study proved a relationship between GDP per capita and robbery rate. The study tells that an increase in GDP per capita is associated with a significant fall in the robbery rate (Fajnzylber, Ledeman, & Loayza,2002). This result supported by economic cycles which have a strong impact on crime. There is many other studies that prove and support the statement that strong economic performance may reduce criminal rate such as Pyle and Deadman (1994), Deadman and Pyle (1997), Hale (1998) and Masin and Masih (1996). Unemployment could affect the lifestyle of the society as this is strongly related to stress management. For an example, when unemployment occurs, this would increase the number of individuals losing their jobs and this may lead to self-medication with the consumption of alcohol (Winton, Heather, & Robertson 1986). This is also the root to many domestic problems lately. Family stress arising from poverty and unemployment has been found to be associated with children’s behavioral problems and with their adjustment over time, especially at times when the family condition is being hit by the impact of unemployment (Shaw, Vondar, Dowdell Hommerding, Keenan, & Dunn,1994). However, the relationship between the consumption of alcohol and macroeconomic condition is indeed complex, as many factors get involved in the matter at the same time. For instance, income or wages being reduced as one of the consequences of unemployment may contribute to an increment in the consumption of alcohol. As explained, many factors would get involved in the matter, such as health. Based on the Australian and the overseas studies, they have unequivocally demonstrated a strong relationship between unemployment and health (National Health Strategy (1992) and Smith (1987)).

Chapter 3 Research Methodology

Research methodology is a set of procedures or methods used to conduct research. Under research method, some of the econometric method will be conducted for data analysis to develop this research study.

3.1 Theoretical framework

Theoretical framework is the outline which is how the independent variables and dependent variab本论文由英语论文网提供整理，提供论文代写，英语论文代写，代写论文，代写英语论文，代写留学生论文，代写英文论文，留学生论文代写相关核心关键词搜索。