Economics of Gangs

Although it won't be out in print until fall 2010, my paper "Putting the 'Con' into Constitutions: The Economics of Prison Gangs" is now available for free on the Journal of Law, Economics, & Organization website. Here's the abstract:

This paper investigates the internal governance institutions of criminal enterprise by examining the law, economics, and organization of the La Nuestra Familia prison gang. To organize effectively within the confines of penitentiaries, the gang needs to provide a credible commitment for member safety to potential entrants and a means of preventing predation and misconduct within the gang. I analyze the governance structure outlined in the gang’s written constitution and show how it solves the collective action problems associated with multilevel criminal enterprises. (JEL D23, K42, L23, P16)