This study examines the effect of three economic variables, education, poverty, and unemployment on the crime rate of Pakistan using the data from 1991-2016. In this paper, the researcher initially summarizes the theoretical and empirical evidence between education, crime, poverty, and unemployment. We begin by analyzing the effect of education on the crime rate using Pakistan’s yearly crime rate report. Then, the researcher explores poverty in determining the violent crime rate and analyzing the relationship between unemployment. The methodology adopted for the current objective is unit root tests, cointegration tests, Granger causality tests, and Vector Error Correction Model. The data is collected from the time period 1991-2016 for the country Pakistan. The data is time-series data and is collected annually. The results of this study indicate that there were positive effects of these variables on crime. This study suggests that increasing the educational status of the individual can decrease the rate of crime, poverty, and unemployment. Previous studies explored the impact of insufficient education on youth criminal activities; this scientific research fulfills this gap. Apart from theoretical significance, the current scientific inquiry has practical significance as well. The practical significance is that in underdeveloped countries like Pakistan, most of the youth are deprived of the basic right to education.

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