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Strong Enforcement by a Weak Authority

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Abstract

This paper studies the enforcement abilities of authorities with a limited commitment to punishing violators. Commitment of resources sufficient to punish only one agent is needed to enforce high compliance of an arbitrary number of agents. Though existence of other, non-compliance equilibria is generally inevitable, there exist punishment rules suitable for a limited authority to assure that compliance prevails in the long run under stochastic evolution.

Suggested Citation

  • Jakub Steiner, 2006. "Strong Enforcement by a Weak Authority," Edinburgh School of Economics Discussion Paper Series 149, Edinburgh School of Economics, University of Edinburgh.
    • Handle: RePEc:edn:esedps:149
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    File URL: http://www.econ.ed.ac.uk/papers/id149_esedps.pdf
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    1. Glenn Ellison, 2000. "Basins of Attraction, Long-Run Stochastic Stability, and the Speed of Step-by-Step Evolution," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 67(1), pages 17-45.
    2. Michihiro Kandori, 2003. ""The Erosion and Sustainability of Norms and Morale" (in Japanese)," CIRJE J-Series CIRJE-J-94, CIRJE, Faculty of Economics, University of Tokyo.
    3. Ernst Fehr & Simon Gächter, 2002. "Altruistic punishment in humans," Nature, Nature, vol. 415(6868), pages 137-140, January.
    4. Kandori, Michihiro & Mailath, George J & Rob, Rafael, 1993. "Learning, Mutation, and Long Run Equilibria in Games," Econometrica, Econometric Society, vol. 61(1), pages 29-56, January.
    5. Jakub Steiner, 2007. "A trace of anger is enough: on the enforcement of social norms," Economics Bulletin, AccessEcon, vol. 8(1), pages 1-4.
    6. Michihiro Kandori, 2003. "The Erosion and Sustainability of Norms and Morale," The Japanese Economic Review, Japanese Economic Association, vol. 54(1), pages 29-48, March.
    7. Alm, James & McKee, Michael, 2004. "Tax compliance as a coordination game," Journal of Economic Behavior & Organization, Elsevier, vol. 54(3), pages 297-312, July.
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    1. repec:ebl:ecbull:v:8:y:2007:i:1:p:1-4 is not listed on IDEAS
    2. Jakub Steiner, 2007. "A trace of anger is enough: on the enforcement of social norms," Economics Bulletin, AccessEcon, vol. 8(1), pages 1-4.

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    More about this item

    Keywords

    commitment; enforcement; punishment; stochastic evolution;
    All these keywords.

    JEL classification:

    • C73 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Stochastic and Dynamic Games; Evolutionary Games
    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers
    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods

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