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A Theory of Optimal Random Crackdowns

Author

Listed:
  • Jan Eeckhout
  • Nicola Persico
  • Petra E. Todd

Abstract

An incentives based theory of policing is developed which can explain the phenomenon of random "crackdowns," i.e., intermittent periods of high interdiction/ surveillance. For a variety of police objective functions, random crackdowns can be part of the optimal monitoring strategy. We demonstrate support for implications of the crackdown theory using traffic data gathered by the Belgian Police Department and use the model to estimate the deterrence effect of additional resources spent on speeding interdiction. (JEL K42, R41)

Suggested Citation

  • Jan Eeckhout & Nicola Persico & Petra E. Todd, 2010. "A Theory of Optimal Random Crackdowns," American Economic Review, American Economic Association, vol. 100(3), pages 1104-1135, June.
    • Handle: RePEc:aea:aecrev:v:100:y:2010:i:3:p:1104-35
    Note: DOI: 10.1257/aer.100.3.1104
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    References listed on IDEAS

    as
    1. 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.
    2. George J. Stigler, 1974. "The Optimum Enforcement of Laws," NBER Chapters, in: Essays in the Economics of Crime and Punishment, pages 55-67, National Bureau of Economic Research, Inc.
    3. John Knowles & Nicola Persico & Petra Todd, 2001. "Racial Bias in Motor Vehicle Searches: Theory and Evidence," Journal of Political Economy, University of Chicago Press, vol. 109(1), pages 203-232, February.
    4. Orley Ashenfelter & Michael Greenstone, 2004. "Using Mandated Speed Limits to Measure the Value of a Statistical Life," Journal of Political Economy, University of Chicago Press, vol. 112(S1), pages 226-267, February.
    5. Parkash Chander & Louis L. Wilde, 1998. "A General Characterization of Optimal Income Tax Enforcement," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 65(1), pages 165-183.
    6. Peltzman, Sam, 1975. "The Effects of Automobile Safety Regulation," Journal of Political Economy, University of Chicago Press, vol. 83(4), pages 677-725, August.
    7. Edward P. Lazear, 2004. "Speeding, Tax Fraud, and Teaching to the Test," NBER Working Papers 10932, National Bureau of Economic Research, Inc.
    8. Polinsky, Mitchell & Shavell, Steven, 1979. "The Optimal Tradeoff between the Probability and Magnitude of Fines," American Economic Review, American Economic Association, vol. 69(5), pages 880-891, December.
    9. Rafael Di Tella & Ernesto Schargrodsky, 2004. "Do Police Reduce Crime? Estimates Using the Allocation of Police Forces After a Terrorist Attack," American Economic Review, American Economic Association, vol. 94(1), pages 115-133, March.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    JEL classification:

    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law
    • R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion; Travel Time; Safety and Accidents; Transportation Noise

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    1. A Theory of Optimal Random Crackdowns (AER 2010) in ReplicationWiki

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