Statutes Versus Enforcement: The Case of the Optimal Speed Limit

6 Pages Posted: 30 Dec 2009 Last revised: 3 Aug 2010

See all articles by Philip E. Graves

Philip E. Graves

University of Colorado at Boulder - Department of Economics

Dwight Lee

University of Georgia - C. Herman and Mary Virginia Terry College of Business - Department of Economics

Robert L. Sexton

Pepperdine University - Economics Department

Date Written: September 1, 1989

Abstract

We show in this paper that efficiency requires that fines be used to the maximum extent possible relative to increased enforcement. While there is a political limit to how far this process should be pushed, in times of budget stress there could be justification for increased reliance on fines relative to enforcement.

Keywords: Statutes, Enforcement, Law and Economics, Speed limits, Crime

JEL Classification: K00, K42

Suggested Citation

Graves, Philip E. and Lee, Dwight and Sexton, Robert L., Statutes Versus Enforcement: The Case of the Optimal Speed Limit (September 1, 1989). American Economic Review, Vol. 79, No. 4, pp. 932-936, September 1989. Available at SSRN: https://ssrn.com/abstract=1529381

Philip E. Graves (Contact Author)

University of Colorado at Boulder - Department of Economics ( email )

Campus Box 256
Boulder, CO 80309-0256
United States

Dwight Lee

University of Georgia - C. Herman and Mary Virginia Terry College of Business - Department of Economics ( email )

Athens, GA 30602-6254
United States

Robert L. Sexton

Pepperdine University - Economics Department ( email )

24255 Pacific Coast Highway
Malibu, CA 90263
United States

Register to save articles to
your library

Register

Paper statistics

Downloads
41
Abstract Views
287
PlumX Metrics