Optimal Law Enforcement and Victim Precaution

Keith N. Hylton

RAND Journal of Economics, 1996, vol. 27, issue 1, 197-206

Abstract: In this I article derive the relationship between the optimal penalty and the probability of apprehension when victim precaution is taken into account. I show that in the area of intentional offenses, the optimal penalty is less than the level that internalizes the victim's harm plus the state's cost of enforcement.

Date: 1996
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