LINKS FOR CASE REPORTS

Risks of identity theft: Can the market protect the payment

system?
By Stacey L. Schreft
Identity theft has been a feature of financial markets for as long as alternatives have existed to cash
transactions. But identity theft has recently occurred on a much larger scale. Data breaches often
involve the apparent loss or acknowledged theft of the personal identifying information of thousands--
or millions--of people. ; Identity theft poses risks, not only to individuals, but to the integrity and
efficiency of the payment system--the policies, procedures, and technology that transfer information for
authenticating and settling payments among participants. Identity theft can cause a loss of confidence in
the security of certain payment methods and an unwillingness to use them. Markets can cease operating
or switch to less efficient payment methods.

LINK: Risks of identity theft: Can the market protect the payment system?

Deterrence and Displacement in Auto Theft

By Marco Gonzalez-Navarro
Lojack is a stolen vehicle tracking technology that achieves extremely high recovery rates. Ayres and
Levitt (1998) show that introduction of the system produced large reductions in vehicle thefts in areas
where it was implemented in the United States. The reduced theft risk was shared by all vehicle owners,
not only those who bought Lojack. This paper, in contrast, uses the introduction of Lojack to a publicly
known set of Ford car models in some Mexican states to show that Lojack generates negative
externalities if thieves can distinguish between Lojack and non-Lojack-equipped cars. 

LINK: Deterrence and Displacement in Auto Theft

Could Kill Switches Kill Phone Theft? Surveying Potential

Solution for Smartphone Theft
By Matt Reitfors and Vikram Iyengar
This paper analyzes the potential efficacy of current proposals to deter smartphone theft and the
broader implications

LINK: Property Rights, Theft, and Efficiency: The Biblical Waiver of Fines in the Case of Confessed Theft