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Regulatory protective measures and risky behavior: Evidence from ice hockey

Listed author(s):
  • Chong, Alberto
  • Restrepo, Pascual

We provide evidence supporting the Peltzman effect, by which individuals required to wear protective gear end up taking additional risks that potentially offset the intended aim of the device. We take advantage of the fact that wearing a visor—a protective device in Ice Hockey—is mandatory in European, minor, and junior leagues but not in the NHL. This allows us to estimate the impact of wearing a visor by comparing the behavior in the NHL and other leagues of players who always wear a visor with that of players who wear one only when it is required. We find that when players are forced to wear a visor their behavior becomes more risky, earning an additional 0.19 penalty in minutes per game (compared to the average 1.14 penalty in minutes in our sample). We estimate an even larger effect of visors when we focus on players who were forced to use one during the 2004 season, when the NHL canceled its regular season and players had to move to European leagues temporarily. These estimates are not driven by players' observable attributes, playing style, or other differences across leagues.

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File URL: http://www.sciencedirect.com/science/article/pii/S004727271730052X
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Article provided by Elsevier in its journal Journal of Public Economics.

Volume (Year): 151 (2017)
Issue (Month): C ()
Pages: 1-11

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Handle: RePEc:eee:pubeco:v:151:y:2017:i:c:p:1-11
DOI: 10.1016/j.jpubeco.2017.04.002
Contact details of provider: Web page: http://www.elsevier.com/locate/inca/505578

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  1. A. Colin Cameron & Jonah B. Gelbach & Douglas L. Miller, 2008. "Bootstrap-Based Improvements for Inference with Clustered Errors," The Review of Economics and Statistics, MIT Press, vol. 90(3), pages 414-427, August.
  2. Peltzman, Sam, 1975. "The Effects of Automobile Safety Regulation," Journal of Political Economy, University of Chicago Press, vol. 83(4), pages 677-725, August.
  3. Russell S. Sobel & Todd M. Nesbit, 2007. "Automobile Safety Regulation and the Incentive to Drive Recklessly: Evidence from NASCAR," Southern Economic Journal, Southern Economic Association, vol. 74(1), pages 71-84, July.
  4. Alma Cohen & Liran Einav, 2003. "The Effects of Mandatory Seat Belt Laws on Driving Behavior and Traffic Fatalities," The Review of Economics and Statistics, MIT Press, vol. 85(4), pages 828-843, November.
  5. Cummins, J David & Tennyson, Sharon, 1996. "Moral Hazard in Insurance Claiming: Evidence from Automobile Insurance," Journal of Risk and Uncertainty, Springer, vol. 12(1), pages 29-50, January.
  6. Loeb, Peter D, 1995. "The Effectiveness of Seat-Belt Legislation in Reducing Injury Rates in Texas," American Economic Review, American Economic Association, vol. 85(2), pages 81-84, May.
  7. Damien de Walque & Harounan Kazianga & Mead Over, 2012. "Antiretroviral Therapy Perceived Efficacy and Risky Sexual Behaviors: Evidence from Mozambique," Economic Development and Cultural Change, University of Chicago Press, vol. 61(1), pages 97-126.
  8. Adam Pope & Robert Tollison, 2010. "“Rubbin’ is racin''': evidence of the Peltzman effect from NASCAR," Public Choice, Springer, vol. 142(3), pages 507-513, March.
  9. Wilson, Nicholas L. & Xiong, Wentao & Mattson, Christine L., 2014. "Is sex like driving? HIV prevention and risk compensation," Journal of Development Economics, Elsevier, vol. 106(C), pages 78-91.
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