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The Costs of Avoiding Accidents.Selective Compliance and the 'Peltzman Effect' in Italy

  • Antonio Nicita

    ()

  • Simona Benedettini

    ()

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    We empirically investigate the deterrent and offsetting effects of the introduction of a point–record driving license (PDRL) in Italy. We find that the PDRL resulted in a sharp reduction of seat belt offenses, and in a noticeable decrease of road accidents. However, the reduction in occupant fatalities and injuries was associated with an increase in non-occupant ones, suggesting a remarkable “Peltzman effect”. We then discuss whether a given enforcement design, by inducing drivers to make the best use of safety resources already available to them, may generate more external costs than would otherwise occur.

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    File URL: http://www.econ-pol.unisi.it/quaderni/631.pdf
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    Paper provided by Department of Economics, University of Siena in its series Department of Economics University of Siena with number 631.

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    Date of creation: Feb 2012
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    Handle: RePEc:usi:wpaper:631
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