In this paper we show that costs associated with infractions of property rights, such as theft, can be reduced by imposing lower penal-ties on individuals who admit to such infractions and make restitution. We find that the socially optimal penalty on a confessed thief may be zero (complete...

This paper applies club theory to the behavior of the ultra-orthodox Jewish community in Israel by using different assumptions than those that have been employed by Berman (1998, 2000). Berman's model explains the extraordinarily length of the period years that ultra-orthodox Jews devote to...

We explore the relation between variability in the rate of return to human capital and investment in education in the context of migration. Specifically, we show that if migration is a possibility, such variability in the rate of return to human capital can induce residents of developing...