This paper discusses the economic approach to deterring foreign exchange violations in the context of law enforcement in Madagascar. In order to find an optimal level of monetary sanction, the setting of the fine rate applied is based on one or more well-defined criteria such as the seriousness...

We consider the role of asymmetric information on the emergenceof collusion between criminals and enforcers, in the framework proposed by Bowles and Garoupa (1997) and Polinsky and Shavell (2001). Our paper proposes that the optimal criminal sanction for the underlying o®ense is not necessarily...

This paper modifies a standard model of law enforcement to allow for learning by doing. We incorporate the process of enforcement learning by assuming that the agency’s current marginal cost is a decreasing function of its past experience of detecting and convicting. The agency accumulates...

We incorporate the process of enforcement learning by assuming that the agency's current marginal cost is a decreasing function of its past experience of detecting and convicting. The agency accumulates data and information (on criminals, on opportunities of crime) enhancing the ability to...

We consider the role of asymmetric information on the emergence of collusion between criminals and enforcers, in the framework proposed by Bowles and Garoupa (1997) and Polinsky and Shavell (2001). Our Paper proposes that the optimal criminal sanction for the underlying offense is not...