THE ECONOMIC APPROACH TO CRIME IS OFTEN DIFFERENT FROM THE USUAL APPROACHES OF OTHER SOCIAL SCIENCES, ESPECIALLY CRIMINOLOGY, PSYCHOLOGY, AND SOCIOLOGY. THE DIFFERENCES ARE PRIMARILY METHODOLOGICAL; EACH APPROACHES THE SAME PROBLEM FROM A DIFFERENT PERSPECTIVE, AND EACH SOMETIMES ARRIVES AT QUITE DIFFERENT SOLUTIONS. WITHIN THE ECONOMIC FRAMEWORK, THE ANALYSIS OF CRIME AND INDIVIDUAL CRIMINAL BEHAVIOR CAN BE APPROACHED THROUGH BOTH POSITIVE AND NORMATIVE ECONOMICS. POSITIVE ECONOMICS ATTEMPTS TO EXPLAIN WHY ECONOMIC AGENTS (I.E., INDIVIDUALS) REACT THE WAY THEY DO IN A GIVEN SITUATION, AND NORMATIVE ECONOMICS ATTEMPTS TO DETERMINE CONDITIONS FOR OPTIMAL ECONOMIC SITUATIONS IN A VALUE-FREE SOCIETY. ALTHOUGH THE ECONOMIC APPROACH IS STILL IN ITS INFANCY, PRELIMINARY RESULTS INDICATE PROMISE IN CERTAIN AREAS. EVENTUALLY, THE ECONOMIC APPROACH MAY PROVIDE MEANINGFUL RESULTS FOR PROPERTY CRIMES, BUT SUCCESS IN THE AREA OF CRIMES OF VIOLENCE IS UNLIKELY. ALTHOUGH IT IS TEMPTING TO SPECULATE THAT THE ECONOMIC APPROACH AND THE CRIMINOLOGICAL, PSYCHOLOGICAL, AND SOCIOLOGICAL APPROACHES REPRESENT EXTREMES ON A SPECTRUM, THE BEST APPROACH TO ANY PARTICULAR PROBLEM ASSOCIATED WITH CRIME MAY WELL BE SOME COMBINATION OF THESE EXTREMES. GRAPHS AND MATHEMATICAL FORMULAS ARE PROVIDED, ALONG WITH NOTES AND REFERENCES. (KBL)