UCLA School of Law

Criminal law is typically seen as the domain of judges and prosecutors, yet police officers often act as de facto policymakers through their enforcement discretion. This paper explores the impact of police discretion on prostitution regulation in China, following a 2017 judicial interpretation that lowered the threshold for prosecuting pimps. Using novel datasets of over 110,000 administrative penalties and 3,300 criminal judgments related to prostitution, we find that heightened criminal liability for pimps has led to intensified police crackdowns in visible venues such as clubhouses, massage parlors, and karaoke bars. This enforcement shift was driven by police incentives to meet criminal investigation quotas, now facilitated by the eased criteria for accumulating evidence against pimps, which disproportionately affected prostitution in "visible" locations and pushed prostitution activities underground in the long run. Overall, these findings highlight the significance of grassroots police incentives in delivering policy objectives and shaping regulatory outcomes.