Volume 4, Issue 1-2

In a formal econometric analysis of crime statistics in Pakistan, this paper estimates five systems of equations determining crime rates against property, conviction rates and police and justice input using time series annual data. The study finds substantial empirical support for the model of crime, punishment and deterrence based on economic theory. The main conclusion of the study is that in the fight against crime Pakistan needs to divert resources from the provision of legal justice through various deterrence measures, like a large police force, conviction and punishment, towards the provision of social justice in the form of the fight against poverty, inequality and unemployment and maintenance of political stability. Resources also need to be diverted from punishments to apprehension of criminals.

This article explores the motivations of a joint venture to provide a high-quality music download service for mobile phones that resulted from a case of a concerted refusal to trade; this refusal was a violation of Antimonopoly Law. We analyze 5 years of monthly compact disk (CD) singles sales in order to identify the incentive for the concerted refusal to trade. The results show that when a CD single is ranked within the top three according to national sales charts, the effect of this factor is significantly greater than can be attributed to any simple ranking proportional effect, which is a prediction of the rank based on the number of sales in the week. Furthermore, we find that the complementary relationship among major companies as expressed by a joint venture could offer benefits. Commitment to a joint venture for the purpose of conveying one’s recognition of the venture and potentially beneficial intentions are a key determinant for joint venture formation.