Artikel

Tolerance of noncompliance: Discretion rather than simple rules?

We argue that societies sometimes choose not to enforce the law to gain 'flexibility'. Especially developing countries face a dilemma between discretion and commitment to only partially-contingent rules. Rules are good for incentives, but discretion may be more 'flexible'. We embed this dilemma in a political model and show that citizens will not support strong enforcement institutions unless the state is able to commit to sufficiently sophisticated redistributive policies.

Alternative title
Tolerancia al incumplimiento: ¿discreción en lugar de reglas simples?
Language
Englisch

Bibliographic citation
Journal: Estudios de Economía ; ISSN: 0718-5286 ; Volume: 46 ; Year: 2019 ; Issue: 1 ; Pages: 31-59

Classification
Wirtschaft
Social Choice; Clubs; Committees; Associations
Criteria for Decision-Making under Risk and Uncertainty
Informal Economy; Underground Economy
Formal and Informal Sectors; Shadow Economy; Institutional Arrangements
Subject
Discretion
commitment
simple rules
informality
enforcement

Event
Geistige Schöpfung
(who)
Forteza, Alvaro
Noboa, Cecilia
Event
Veröffentlichung
(who)
Universidad de Chile, Departamento de Economía
(where)
Santiago de Chile
(when)
2019

Handle
Last update
10.03.2025, 11:43 AM CET

Data provider

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Object type

  • Artikel

Associated

  • Forteza, Alvaro
  • Noboa, Cecilia
  • Universidad de Chile, Departamento de Economía

Time of origin

  • 2019

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