An examination of the research on the relationship between economic recession and crime indicates a relationship of the type expected, with economic recession associated with higher levels of crime. The nature of this relationship is more complex and varied than commonly thought, however. Specifically, although there does appear to be a weak direct relationship between unemployment and the level of youth crime and property offenses, indirect effects also occur and may be even stronger. Indirect effects include a decline in work stability, job quality, and the amount of time spent working. These indirect effects cause decreases in job satisfaction and income which in turn lead to increases in crime. Also, economic recession does not cause equal increases in all types of crime. Some crimes, such as property offenses and drug sales, increase rapidly, while other crimes, such as violent crime and prostitution, increase more slowly. Offenses such as employee theft may actually decline with economic recession. Although the literature provides little guidance on policies likely to counter the impacts of economic recession on crime, it does suggest that providing certain types of payments to prison releasees at or shortly after release is likely to decrease their criminal activity. Moreover, satisfying, full-time employment at reasonable wages, the most globally effective policy, may result from effective macroeconomic policies, wage subsidies, or job-related tax incentives to the private sector, as well as public sector employment. Ten footnotes and 11 references are provided. (Author summary modified)