Grey Income And The Optimal Use Of Fine And Imprisonment To Grey Income

Nowadays the phenomenon of grey income has risen and its degree has become more and more serious. Grey income not only produces corruption but causes the social unfair and expends the gap between rich and poor. But literatures before usually just discussed about the components of grey income or talked about the total amount of grey income in our society, which didn't refer to the nature of the grey income and can't arise effective ways to restrict the grey income. So the people who own privilege can use different kinds of methods to collect immorality wealth without punishment. Therefore, for constructing a harmonious society, it's urgent to definite the meaning of grey income and then give a reasonable way to regulate the grey income. This article give a reasonable definition about grey income: un-irregularity rent income, it's different from other similar phrases such as tax evasion income in nature. According to some literature before, this article will discuss some methods to calculate the amount of grey income of society and individual next. Then in the view of law and economics, using a model of deterrence theory, this article constructs a deterrence model under a precondition of the supervise cost existent to regulate grey income. When the wealth levels are different, the methods that punish the one who abuse his privilege should be different. The model tells us how to choose the optimal use of fine and imprisonment. Finally, according to the conclusion induced form the model this article arise some relative political suggestions, such as: We should construct a mature byelaw of people who has privilege, especially bureaucracy and strict the declaration system about the wealth of privilege. We must complete relative terms in criminal law. At the same time, we must cultivate the surveillance systems. This article is divided into four parts. Chapter I will discussion on the definition of grey income; Chapter II will discuss the calculation of grey income, including gross grey income and individual grey income; Chapter III will build the regulation model of the grey income; Chapter IV will try to give some suggestions of the institution reformation about grey income.