The theoretical model uses four components for the calculation of social loss through criminal activity: (1) the direct cost or damages of crime, (2) apprehension and conviction costs, (3) punishment costs, and (4) the level of criminal activity. Both criminal activity and apprehension and conviction costs increase with escalations in crime rates. Punishment costs are composed of costs to offenders and social costs related to the provision of punishment facilities and services. In addition, if the punishment is a fine, the accrual to society must be calculated. The level of criminal activity depends on both conviction probability and punishment characteristics. The interrelationship among these factors establishes the optimal conditions for reducing crime. An analysis of conditions in the Republic of Ireland indicated that the model did not apply. Although data were insufficient for complete analysis, they did indicate that crime in Ireland did not pay. Moreover, rising unemployment will be associated with an increase in crimes against property with violence and a decrease in crimes against property without violence. Tabular data and 16 references are included.