Thursday, May 2, 2013
Hakan Inal (Izmir University) has posted Impossibility of the Existence of Opposite Equilibrium Preferences on Law Enforcement on SSRN. Here is the abstract:
Law enforcement is among the key elements of a civil society that ensures the achievement of a higher social welfare. An enforcement authority determines the level of public enforcement of law. In this paper, I show that in a standard model of law enforcement in the literature, it is impossible to have agents with “opposite equilibrium preferences” over the level of public enforcement of law in the same society.