http://hdl.handle.net/10230/8584 2013-05-19T17:45:50Z http://hdl.handle.net/10230/8585 A theory of optimal random crackdowns Eeckhout, Jan; Persico, Nicola; Todd, Petra An incentives based theory of policing is developed which can explain the phenomenon of random “crackdowns,” i.e., intermittent periods of high interdiction/surveillance. For a variety of police objective functions, random crackdowns can be part of the optimal monitoring strategy. We demonstrate support for implications of the crackdown theory using traffic data gathered by the Belgian Police Department and use the model to estimate the deterrence effect of additional resources spent on speeding interdiction. 2010-01-01T00:00:00Z http://hdl.handle.net/10230/8582 Occupational choice and development Eeckhout, Jan; Jovanovic, Boyan The rise in world trade since 1970 has been accompanied by a rise in the geographic span of control of management and, hence, also a rise in the e ective international mobility of labor services. We study the e ect of such a globalization of the world's labor markets. The world's welfare gains depend positively on the skill-heterogeneity of the world's labor force. We nd that when people can choose between wage work and managerial work, the worldwide labor market raises output by more in the rich and the poor countries, and by less in the middle-income countries. This is because the middle-income countries experience the smallest change in the factor-price ratio, and where the option to choose between wage work and managerial work has the least value in the integrated economy. Our theory also establishes that after economic integration, the high skill countries see a disproportionate increase in managerial occupations. Using aggregate data on GDP, openness and occupations from 115 countries, we find evidence for these patterns of occupational choice. 2012-01-01T00:00:00Z