Prof of Economics @ Hertie School & BSoE Berlin | Public Econ, Applied Micro, Behavioral | Law #Enforcement, #TaxEvasion, Transportation Policy | #FirstGen https://www.hertie-school.org/traxler
PS: In related work (same setting), we do NOT find clear evidence that higher #fines would amplify (specific) #deterrence effects – it’s about getting a ticket (or not), which makes drivers slow down... low/high fines seem 2nd order 👇
PS: In related work (same setting), we do NOT find clear evidence that higher #fines would amplify (specific) #deterrence effects – it’s about getting a ticket (or not), which makes drivers slow down... low/high fines seem 2nd order 👇
Given that (non-)compliance responses are small, the elasticity of revenues wrt fines is high (~0.9): a 100CZK increase in fines translates into ~60CZK higher revenues collected (within 15 days).
Might explain why "revenue motivated" authorities find fines attractive.
(4/5)
July 21, 2025 at 10:01 AM
Given that (non-)compliance responses are small, the elasticity of revenues wrt fines is high (~0.9): a 100CZK increase in fines translates into ~60CZK higher revenues collected (within 15 days).
Might explain why "revenue motivated" authorities find fines attractive.