The Reaction to Rules and Dispersion of Conduct

Abstract

Rules that threaten penalties for their violation influence conduct. This article examines how different types of rules seek to reduce or increase conduct. Rules differ, ranging from taxes to penalties imposed for violating precise or vague limits. Rules' consequences are felt differently, depending on whether the penalties they impose are fixed or variable. Variable penalties depend on the degree of the violation. The shape of trial procedure also influences the way rules deter. The dispersions of the conduct these rules induce have significantly different features.