Organized crime, corruption and punishment

Maurice Kugler (), Thierry Verdier and Yves Zenou

Post-Print from HAL

Abstract: We analyze an oligopoly model in which differentiated criminal organizations globally compete on criminal activities and engage in local corruption to avoid punishment. When bribing costs are low, that is badly-paid and dishonest law enforcers work in a weak governance environment, and the rents from criminal activity are sufficiently high, we find that increasing policing and sanctions can generate higher crime rates. Indeed, beyond a threshold, further increases in intended expected punishment create incentives for organized crime to extend corruption rings, and ensuing impunity results in a fall of actual expected punishment that yields more rather than less crime.

Keywords: Deterrence; Organized crime; Corruption; Oligopoly; Free entry (search for similar items in EconPapers)
Date: 2005-09
References: Add references at CitEc
Citations: View citations in EconPapers (44)

Published in Journal of Public Economics, 2005, 89 (9-10), pp.1639-1663. ⟨10.1016/j.jpubeco.2004.05.005⟩

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
Journal Article: Organized crime, corruption and punishment (2005)
Working Paper: Organized Crime, Corruption and Punishment (2003)
Working Paper: Organized Crime, Corruption and Punishment (2003)
Working Paper: Organized Crime, Corruption and Punishment (2003)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:halshs-00754068

DOI: 10.1016/j.jpubeco.2004.05.005

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().