Dear colleagues, The Department of Economics cordially invites you to the WU Economic Research Seminar (Department Seminar) on Wednesday, December 12, with Christian Traxler (Hertie School of Governance) on "Punishment and Specific Deterrence: Evidence from Speeding Tickets" Abstract: This paper studies how exposure to punishment - which may induce learning about law enforcement - shapes future compliance behavior. The context of our study is the enforcement of speed limits through radars and speeding tickets. Tickets do not affect the future “price” for speeding (i.e., expected fines, insurance rates). Hence, there is no scope for general deterrence effects. Using unique data on driving and ticketing histories that track more than 1 million cars over almost 4 years, we evaluate drivers' responses to punishment at the extensive (receiving a speeding ticket) and intensive margin (tickets with low vs high fines). We use two complementary empirical strategies: (1) A regression discontinuity design that builds on speed level cutoffs used in the enforcement process and (2) an event study deign that exploits high-frequency data to compare driving before and after receiving a ticket. Both analyses provide coherent evidence, documenting a strong and persistent specific deterrence effect from receiving a ticket. Drivers reduce their speed immediately after receiving a ticket. The drop in speeding is sustained over several months. However, we find no evidence that intensive margin variation in punishment related to a more than two-fold increase in fines amplifies the impact of speeding tickets. Time and place: Wednesday, December 12, 3.00 – 4.30 p.m., Campus WU, Welthandelsplatz 1, 1020 Vienna, building D4, entrance A, 2nd floor, Department meeting room 2.008. With best regards, Harald Oberhofer --- Univ.-Prof. Dr. Harald Oberhofer Institute for International Economics WU Vienna University of Economics and Business Phone: +43/1/31336-4984 Fax: +43/1/31336-4984 Email: harald.oberhofer@wu.ac.at<mailto:harald.oberhofer@wu.ac.at> Webpage: https://www.wu.ac.at/ie/mitarbeiter/harald-oberhofer/ Austrian Institute of Economic Research (WIFO) Phone: +43/1/7982601-468 Fax: +43/1/7989386 Email: harald.oberhofer@wifo.ac.at<mailto:harald.oberhofer@wifo.ac.at> Webpage: http://www.wifo.ac.at/harald_oberhofer