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Rule Enforcing Through Ordering

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arxiv 2303.17971 v2 pith:VHEPRL7E submitted 2023-03-31 cs.MA cs.GTcs.LG

Rule Enforcing Through Ordering

classification cs.MA cs.GTcs.LG
keywords authoritycentralfineindividualoffendersconsiderablyincentivesindividuals
verification ladder T0 review T1 audit T2 compute T3 formal T4 reserved
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In many real world situations, like minor traffic offenses in big cities, a central authority is tasked with periodic administering punishments to a large number of individuals. Common practice is to give each individual a chance to suffer a smaller fine and be guaranteed to avoid the legal process with probable considerably larger punishment. However, thanks to the large number of offenders and a limited capacity of the central authority, the individual risk is typically small and a rational individual will not choose to pay the fine. Here we show that if the central authority processes the offenders in a publicly known order, it properly incentives the offenders to pay the fine. We show analytically and on realistic experiments that our mechanism promotes non-cooperation and incentives individuals to pay. Moreover, the same holds for an arbitrary coalition. We quantify the expected total payment the central authority receives, and show it increases considerably.

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