A Model of Optimal Fines for Repeat Offenders
This paper analyzes optimal fines in a model in which individuals can commit up to two offenses. The fine for the second offense is allowed to differ from the fine for the first offense. There are four natural cases in the model, defined by assumptions about the gains to individuals from committing the offense. In the case fully analyzed it may be optimal to punish repeat offenders more severely than first-time offenders. In another case, it may be optimal to impose less severe penalties on repeat offenders. And in the two remaining cases, the optimal penalty does not change.
|Date of creation:||Jun 1991|
|Publication status:||published as Journal of Public Economics, Vol. 46, No. 3, pp. 291-306, (December 1991)|
|Contact details of provider:|| Postal: National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.|
Web page: http://www.nber.org
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- 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.
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- Rubinstein, Ariel, 1980. "On an anomaly of the deterrent effect of punishment," Economics Letters, Elsevier, vol. 6(1), pages 89-94. Full references (including those not matched with items on IDEAS)
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