DO WE PUNISH HIGH-INCOME CRIMINALS TOO HEAVILY

Many critics believe that since high income criminals can afford to purchase better legal services they are less severely punished than poor criminals who commit equivalent crimes. Others are concerned that the penalties imposed on criminals are "too small." This paper shows that ignoring the effect conviction has on later earnings dramatically underestimates the total monetary penalty paid by those convicted and that the penalty structure is extremely progressive. Where evidence on the probability Of conviction is available, it shows that the highest income criminals face the highest expected penalties.