J. Schrag et S. Scotchmer, CRIME AND PREJUDICE - THE USE OF CHARACTER EVIDENCE IN CRIMINALS TRIALS, Journal of law, economics, & organization, 10(2), 1994, pp. 319-342
The task of juries is to dispense ex post justice. While justice requi
res convicting the guilty and acquitting the innocent, the evidence us
ually cannot distinguish with certainty. We argue that the jury will b
e more lenient in acquittals than is optimal for deterring crime whene
ver its subjective cost of wrongful convictions is at least as high as
its subjective cost of wrongful acquittals. However if the jury is pr
ejudiced against habitual criminals, its subjective cost of wrongful c
onvictions will be relatively low, and then the jury may impede deterr
ence by its punitiveness rather than by its lenience. We investigate w
hether restricting character evidence can solve this problem.