Pirates and fishermen: Is less patrolling always bad?
Motivated by the Somali fishermen–pirates, I explore the time allocation decision of potential pirates between piracy and an alternative non-violent occupation, fishing, when the returns of both piracy and fishing are sensitive to patrolling intensity. For a range of parameters, the static model yields multiple equilibria, an “efficient” one with no patrolling and low piracy, a less efficient equilibrium with intermediate levels of both piracy and patrolling and a highly inefficient high-patrolling high-piracy equilibrium. Analyzing the dynamic analogue, I obtain the surprising result that sufficiently low patrolling can be a good strategy.
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Guha, Brishti & Guha, Ashok S., 2011. "Pirates and traders: Some economics of pirate-infested seas," Economics Letters, Elsevier, vol. 111(2), pages 147-150, May.
- Garoupa, Nuno, 2000.
"The Economics of Organized Crime and Optimal Law Enforcement,"
Western Economic Association International, vol. 38(2), pages 278-88, April.
- Nuno Garoupa, 1997. "The economics of organized crime and optimal law enforcement," Economics Working Papers 246, Department of Economics and Business, Universitat Pompeu Fabra, revised Dec 1997.
- 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.
- James E. Anderson & Douglas Marcouiller, 2005.
"Anarchy And Autarky: Endogenous Predation As A Barrier To Trade,"
International Economic Review,
Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 46(1), pages 189-213, 02.
- James E. Anderson & Douglas Marcouiller, S.J., 1997. "Anarchy and Autarky: Endogenous Predation as a Barrier to Trade," Boston College Working Papers in Economics 383, Boston College Department of Economics, revised 01 Oct 2001.
- 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.
- Juin-Jen Chang & Huei-Chung Lu & Mingshen Chen, 2005. "Organized Crime or Individual Crime? Endogenous Size of a Criminal Organization and the Optimal Law Enforcement," Economic Inquiry, Western Economic Association International, vol. 43(3), pages 661-675, July.
- Dick, Andrew R., 1995. "When does organized crime pay? A transaction cost analysis," International Review of Law and Economics, Elsevier, vol. 15(1), pages 25-45, January.
- Leeson, Peter T., 2007. "Better off stateless: Somalia before and after government collapse," Journal of Comparative Economics, Elsevier, vol. 35(4), pages 689-710, December.
- Gary S. Becker, 1974.
"Crime and Punishment: An Economic Approach,"
in: Essays in the Economics of Crime and Punishment, pages 1-54
National Bureau of Economic Research, Inc.
- Cameron, Samuel, 1988. "The Economics of Crime Deterrence: A Survey of Theory and Evidence," Kyklos, Wiley Blackwell, vol. 41(2), pages 301-23.
- Miceli, Thomas J., 2010. "A model of criminal sanctions that incorporate both deterrence and incapacitation," Economics Letters, Elsevier, vol. 107(2), pages 205-207, May.
- 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.
- Stergios Skaperdas, 2001. "The political economy of organized crime: providing protection when the state does not," Economics of Governance, Springer, vol. 2(3), pages 173-202, November.
When requesting a correction, please mention this item's handle: RePEc:eee:jeborg:v:81:y:2012:i:1:p:29-38. See general information about how to correct material in RePEc.
If references are entirely missing, you can add them using this form.