CRIME AND PUNISHMENT WITH HABIT FORMATION

Vladimir Teles () and Joaquim P. Andrade

Anais do XXXIII Encontro Nacional de Economia [Proceedings of the 33rd Brazilian Economics Meeting] from ANPEC - Associação Nacional dos Centros de Pós-Graduação em Economia [Brazilian Association of Graduate Programs in Economics]

Abstract: Moral concepts affect crime supply. This idea is modelled assuming that illegal activities is habit forming. We introduce habits in a intertemporal general equilibrium framework to illegal activities and compare its outcomes with a model without habit formation. The findings are that habit (i) reduces the crime level; (ii) reduces the marginal effect of illegal activities return on crime; (iii) reduces the efficacy of punishment.

JEL-codes: K14 K42 (search for similar items in EconPapers)
Date: 2005
New Economics Papers: this item is included in nep-law, nep-reg and nep-sea
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http://www.anpec.org.br/encontro2005/artigos/A05A090.pdf

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Working Paper: Crime and punishment with habit formation (2009)
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Persistent link: https://EconPapers.repec.org/RePEc:anp:en2005:090

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