IDEAS home Printed from https://ideas.repec.org/a/kap/pubcho/v171y2017i3d10.1007_s11127-017-0437-9.html
   My bibliography  Save this article

Free riders: the economics and organization of outlaw motorcycle gangs

Author

Listed:
  • Ennio E. Piano

    (George Mason University)

Abstract

This paper investigates the organizational structure of the Hells Angels Motorcycle Club, one of the largest and best known North American motorcycle gangs. Within the first few decades since their establishment, the Angels developed a hierarchical organizational form, which allowed them to overcome internal conflict and exploit the gains from their involvement in criminal activities. This organizational form, I argue, played a central role in the rapid success of the Angels in the North American (and international) criminal landscape.

Suggested Citation

  • Ennio E. Piano, 2017. "Free riders: the economics and organization of outlaw motorcycle gangs," Public Choice, Springer, vol. 171(3), pages 283-301, June.
  • Handle: RePEc:kap:pubcho:v:171:y:2017:i:3:d:10.1007_s11127-017-0437-9
    DOI: 10.1007/s11127-017-0437-9
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s11127-017-0437-9
    File Function: Abstract
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1007/s11127-017-0437-9?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Alchian, Armen A & Demsetz, Harold, 1972. "Production , Information Costs, and Economic Organization," American Economic Review, American Economic Association, vol. 62(5), pages 777-795, December.
    2. Williamson, Oliver, 2009. "The Theory of the Firm as Governance Structure: From Choice to Contract," Ekonomicheskaya Politika / Economic Policy, Russian Presidential Academy of National Economy and Public Administration, vol. 6, pages 111-134, December.
    3. Gary S. Becker, 1974. "Crime and Punishment: An Economic Approach," NBER Chapters, in: Essays in the Economics of Crime and Punishment, pages 1-54, National Bureau of Economic Research, Inc.
    4. Peter Leeson, 2014. "Pirates, prisoners, and preliterates: anarchic context and the private enforcement of law," European Journal of Law and Economics, Springer, vol. 37(3), pages 365-379, June.
    5. David Skarbek, 2010. "Putting the "Con" into Constitutions: The Economics of Prison Gangs," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 26(2), pages 183-211.
    6. Peter T. Leeson & Douglas Bruce Rogers, 2012. "Organizing Crime," Supreme Court Economic Review, University of Chicago Press, vol. 20(1), pages 89-123.
    7. Steven D. Levitt & Sudhir Alladi Venkatesh, 2000. "An Economic Analysis of a Drug-Selling Gang's Finances," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 115(3), pages 755-789.
    8. Barzel,Yoram, 1997. "Economic Analysis of Property Rights," Cambridge Books, Cambridge University Press, number 9780521597135, February.
    9. Skarbek, David, 2012. "Prison gangs, norms, and organizations," Journal of Economic Behavior & Organization, Elsevier, vol. 82(1), pages 96-109.
    10. Klein, Benjamin & Leffler, Keith B, 1981. "The Role of Market Forces in Assuring Contractual Performance," Journal of Political Economy, University of Chicago Press, vol. 89(4), pages 615-641, August.
    11. Fama, Eugene F & Jensen, Michael C, 1983. "Separation of Ownership and Control," Journal of Law and Economics, University of Chicago Press, vol. 26(2), pages 301-325, June.
    12. Bengt Holmstrom & John Roberts, 1998. "The Boundaries of the Firm Revisited," Journal of Economic Perspectives, American Economic Association, vol. 12(4), pages 73-94, Fall.
    13. repec:wvu:wpaper:09-09 is not listed on IDEAS
    14. Simon Rottenberg, 1973. "The Economics of Crime and Punishment," Books, American Enterprise Institute, number 920506, September.
    15. Skarbek, David, 2011. "Governance and Prison Gangs," American Political Science Review, Cambridge University Press, vol. 105(4), pages 702-716, November.
    16. Barker, Thomas & Human, Kelly M., 2009. "Crimes of the Big Four motorcycle gangs," Journal of Criminal Justice, Elsevier, vol. 37(2), pages 174-179, March.
    17. Williamson, Oliver E, 1983. "Credible Commitments: Using Hostages to Support Exchange," American Economic Review, American Economic Association, vol. 73(4), pages 519-540, September.
    18. James Kostelnik & David Skarbek, 2013. "The governance institutions of a drug trafficking organization," Public Choice, Springer, vol. 156(1), pages 95-103, July.
    19. Russell S. Sobel & Brian J. Osoba, 2009. "Youth Gangs as Pseudo-Governments Implications for Violent Crime," Southern Economic Journal, John Wiley & Sons, vol. 75(4), pages 996-1018, April.
    20. Leeson, Peter T., 2010. "Pirational choice: The economics of infamous pirate practices," Journal of Economic Behavior & Organization, Elsevier, vol. 76(3), pages 497-510, December.
    21. Peter Leeson, 2009. "The calculus of piratical consent: the myth of the myth of social contract," Public Choice, Springer, vol. 139(3), pages 443-459, June.
    22. Peter T. Leeson, 2007. "An-arrgh-chy: The Law and Economics of Pirate Organization," Journal of Political Economy, University of Chicago Press, vol. 115(6), pages 1049-1094, December.
    23. Peter Leeson, 2010. "Pirates," The Review of Austrian Economics, Springer;Society for the Development of Austrian Economics, vol. 23(3), pages 315-319, September.
    24. Varese, Federico, 2001. "The Russian Mafia: Private Protection in a New Market Economy," OUP Catalogue, Oxford University Press, number 9780198297369.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Aloys Prinz & Thomas Ehrmann, 2019. "Gang wars, gang employment and drug prices," Journal of Bioeconomics, Springer, vol. 21(1), pages 37-46, April.
    2. Bandyopadhyay, Siddhartha & Cabrales, Antonio, 2023. "Pricing group membership," Mathematical Social Sciences, Elsevier, vol. 123(C), pages 114-121.
    3. Piano, Ennio E. & Rouanet, Louis, 2020. "Desertion as theft," Journal of Institutional Economics, Cambridge University Press, vol. 16(2), pages 169-183, April.
    4. Vincent Geloso & Peter T. Leeson, 2020. "Are Anarcho-Capitalists Insane? Medieval Icelandic Conflict Institutions in Comparative Perspective," Revue d'économie politique, Dalloz, vol. 130(6), pages 957-974.
    5. Norgaard, Julia R. & Walbert, Harold J. & Hardy, R. August, 2018. "Shadow markets and hierarchies: comparing and modeling networks in the Dark Net," Journal of Institutional Economics, Cambridge University Press, vol. 14(5), pages 877-899, October.
    6. Ennio E. Piano, 2018. "Outlaw and economics: Biker gangs and club goods," Rationality and Society, , vol. 30(3), pages 350-376, August.
    7. Ennio E. Piano, 2019. "State capacity and public choice: a critical survey," Public Choice, Springer, vol. 178(1), pages 289-309, January.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Norgaard, Julia R. & Walbert, Harold J. & Hardy, R. August, 2018. "Shadow markets and hierarchies: comparing and modeling networks in the Dark Net," Journal of Institutional Economics, Cambridge University Press, vol. 14(5), pages 877-899, October.
    2. Golz, Michael & D'Amico, Daniel J., 2018. "Market concentration in the international drug trade," Journal of Economic Behavior & Organization, Elsevier, vol. 150(C), pages 28-42.
    3. Ennio E. Piano, 2018. "Outlaw and economics: Biker gangs and club goods," Rationality and Society, , vol. 30(3), pages 350-376, August.
    4. David Skarbek & Peng Wang, 2015. "Criminal rituals," Global Crime, Taylor & Francis Journals, vol. 16(4), pages 288-305, October.
    5. Leonid Krasnozhon & John Levendis, 2018. "Weekend racer: cheating and self-governance in road racing," Economics of Governance, Springer, vol. 19(1), pages 75-90, February.
    6. Leeson, Peter T., 2010. "Pirational choice: The economics of infamous pirate practices," Journal of Economic Behavior & Organization, Elsevier, vol. 76(3), pages 497-510, December.
    7. James Kostelnik & David Skarbek, 2013. "The governance institutions of a drug trafficking organization," Public Choice, Springer, vol. 156(1), pages 95-103, July.
    8. Peter Leeson, 2014. "Pirates, prisoners, and preliterates: anarchic context and the private enforcement of law," European Journal of Law and Economics, Springer, vol. 37(3), pages 365-379, June.
    9. Skarbek, David, 2012. "Prison gangs, norms, and organizations," Journal of Economic Behavior & Organization, Elsevier, vol. 82(1), pages 96-109.
    10. Freire, Danilo, 2017. "Prison Gangs," SocArXiv kuqqx, Center for Open Science.
    11. Darcy W E Allen, 2020. "When Entrepreneurs Meet:The Collective Governance of New Ideas," World Scientific Books, World Scientific Publishing Co. Pte. Ltd., number q0269, January.
    12. Harris,Colin & Cai,Meina & Murtazashvili,Ilia & Murtazashvili,Jennifer Brick, 2020. "The Origins and Consequences of Property Rights," Cambridge Books, Cambridge University Press, number 9781108969055.
    13. Ken Yahagi, 2019. "Law enforcement with criminal organizations and endogenous collaboration," European Journal of Law and Economics, Springer, vol. 48(3), pages 351-363, December.
    14. David Skarbek, 2010. "Putting the "Con" into Constitutions: The Economics of Prison Gangs," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 26(2), pages 183-211.
    15. Peter Leeson, 2013. "Gypsy law," Public Choice, Springer, vol. 155(3), pages 273-292, June.
    16. Roth, M. Garrett & Skarbek, David, 2014. "Prison Gangs and the Community Responsibility System," Review of Behavioral Economics, now publishers, vol. 1(3), pages 223-243, May.
    17. Skarbek, David, 2016. "Covenants without the Sword? Comparing Prison Self-Governance Globally," American Political Science Review, Cambridge University Press, vol. 110(4), pages 845-862, November.
    18. T. Randolph Beard & Richard Alan Seals Jr. & Michael L. Stern, 2014. "Security and Government Credibility," Auburn Economics Working Paper Series auwp2014-07, Department of Economics, Auburn University.
    19. Lucas, David S. & Fuller, Caleb S. & Piano, Ennio E., 2018. "Rooking the state," International Review of Law and Economics, Elsevier, vol. 55(C), pages 12-20.
    20. Peter T. Leeson & David B. Skarbek, 2010. "Criminal constitutions," Global Crime, Taylor & Francis Journals, vol. 11(3), pages 279-297, August.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:pubcho:v:171:y:2017:i:3:d:10.1007_s11127-017-0437-9. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.