A fine is a price.

Auteur(s)
Gneezy, U. & Rustichini, A.
Jaar
Samenvatting

The deterrence hypothesis predicts that the introduction of a penalty that leaves everything else unchanged will reduce the occurrence of the behavior subject to the fine. The authors present the result of a field study in a group of day-care centers that contradicts this prediction. Parents used to arrive late to collect their children, forcing a teacher to stay after closing time. They introduced a monetary fine for late-coming parents. As a result, the number of late-coming parents increased significantly. After the fine was removed no reduction occurred. They argue that penalties are usually introduced into an incomplete contract, social or private. They may change the information that agents have, and therefore the effect on behavior may be opposite of that expected. If this is true, the deterrence hypothesis loses its predictive strength, since the clause 'everything else is left unchanged' might be hard to satisfy. (Author/publisher)

Publicatie aanvragen

4 + 16 =
Los deze eenvoudige rekenoefening op en voer het resultaat in. Bijvoorbeeld: voor 1+3, voer 4 in.

Publicatie

Bibliotheeknummer
20190302 ST [electronic version only]
Uitgave

Journal of Legal Studies, Vol. 29 (2000), No. 1 (January), p. 1-17

Onze collectie

Deze publicatie behoort tot de overige publicaties die we naast de SWOV-publicaties in onze collectie hebben.