A few years ago, Governor Deval Patrick of Massachusetts proposed that criminals would have to pay a "safety fee" to the government. The size of the fee would be based on the seriousness of the crime (that is, the fee would be larger for more serious crimes).
a. Is there an economically efficient amount of crime? Briefly explain.
b. Briefly explain whether the "safety fee" is a Pigovian tax of the type discussed in this chapter.
Source: Michael Levenson, "Patrick Proposes New Fee on Criminals, Boston Globe, January 14, 2007.