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Marginal Deterrence Through Ambient Environmental Inspections

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  • Laurent Franckx

Abstract

We consider the enforcement of an environmental standard if the probabilities of inspection are determined by an inspection agency who permanently monitors ambient pollution. This monitoring creates strategic interactions between polluters, which imply that the probability of inspection is increasing in the transgression level. These interactions also imply that marginal deterrence is possible, even with penalties that are not increasing in the transgression levels.

Suggested Citation

  • Laurent Franckx, 2004. "Marginal Deterrence Through Ambient Environmental Inspections," Scottish Journal of Political Economy, Scottish Economic Society, vol. 51(4), pages 507-527, September.
    • Handle: RePEc:bla:scotjp:v:51:y:2004:i:4:p:507-527
    DOI: 10.1111/j.0036-9292.2004.00318.x
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    References listed on IDEAS

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    1. Franckx, Laurent, 2002. "The Use of Ambient Inspections in Environmental Monitoring and Enforcement When the Inspection Agency Cannot Commit Itself to Announced Inspection Probabilities," Journal of Environmental Economics and Management, Elsevier, vol. 43(1), pages 71-92, January.
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    Cited by:

    1. Detotto, Claudio & McCannon, Bryan C. & Vannini, Marco, 2015. "Evidence of marginal deterrence: Kidnapping and murder in Italy," International Review of Law and Economics, Elsevier, vol. 41(C), pages 63-67.
    2. Heather Eckert & Andrew Eckert, 2010. "The geographic distribution of environmental inspections," Journal of Regulatory Economics, Springer, vol. 37(1), pages 1-22, February.
    3. Colson, Gregory & Menapace, Luisa, 2012. "Multiple receptor ambient monitoring and firm compliance with environmental taxes under budget and target driven regulatory missions," Journal of Environmental Economics and Management, Elsevier, vol. 64(3), pages 390-401.
    4. C. Detotto & B. Mccannon & M. Vannini, 2013. "A Note on Marginal Deterrence: Evidence," Working Paper CRENoS 201310, Centre for North South Economic Research, University of Cagliari and Sassari, Sardinia.
    5. François Cochard & Julie Le Gallo & Laurent Franckx, 2015. "Regulation Of Pollution In The Laboratory: Random Inspections, Ambient Inspections, And Commitment Problems," Bulletin of Economic Research, Wiley Blackwell, vol. 67(S1), pages 40-73, December.

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