Dhami, Sanjit; al-Nowaihi, Ali - Department of Economics, Leicester University - 2011
All models in Law and Economics use punishment functions (PF) that incorporates a trade-off between probability of … detection, p, and punishment, F. Suppose society wishes to minimize the total costs of enforcement and damages from crime, T (p …; F). For a given p, an optimal punishment function (OPF) determines an F that minimizes T(p; F). A popular and tractable …