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The deterrence effect of linear versus convex fines: laboratory evidence

dc.rights.licenseAttribution-NonCommercial-NoDerivatives 4.0 Internacional*
dc.contributor.authorCaffera, Marcelo
dc.contributor.authorChávez, Carlos
dc.contributor.authorArdente, Analía
dc.date.accessioned2024-06-12T19:32:31Z
dc.date.available2024-06-12T19:32:31Z
dc.date.issued2021es
dc.identifier.urihttps://hdl.handle.net/20.500.12806/2443
dc.format.extentpp. 45-70es
dc.format.mimetypeapplication/pdfes
dc.languageenges
dc.publisherTaylor and Francises
dc.relation.ispartofJournal of Applied Economicses
dc.rightsAbiertoes
dc.rights.urihttp://creativecommons.org/licenses/by-nc-nd/4.0/*
dc.titleThe deterrence effect of linear versus convex fines: laboratory evidencees
dc.typeArtículoes
dc.contributor.filiacionCaffera, Marcelo. Universidad de Montevideo, Uruguayes
dc.contributor.filiacionChávez, Carlos. Universidad de Talca, Chilees
dc.contributor.filiacionArdente, Analía. Ministerio de Economía y Finanzas, Uruguayes
dc.identifier.doihttps://doi.org/10.1080/15140326.2020.1848307es
dc.type.versionPublicadaes
dc.description.abstractenglishUsing experiments in which participants play the role of pollutingfirms, we study compliance behavior with emissions limits undertwo types of fines and two different regulatory instruments. We findthat the market price of pollution permits and the probability ofviolating permits holdings are higher with a fine that is convex inthe level of violation than with one that is linear. This effect oper-ates through an increase in the prices asked by sellers, not in thebids made by the buyers of permits. We do not observe an effect ofthe type of the fine on the average level of violation or the numberof firms in violation in the case of emission standards. We concludethat the type of fines may affect the cost-effectiveness of pollutioncontrol programs based on tradable pollution permits.es
dc.subject.keywordEnvironmental policyes
dc.subject.keywordEnforcementes
dc.subject.keywordPenaltystructurees
dc.subject.keywordLaboratory experimentses

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