Title: The Custom in the Shadow of the Formal Law: An Economic Analysis
1The Custom in the Shadow of the Formal Law An
Economic Analysis
- Gani Aldashev, Imane Chaara, Jean-Philippe
Platteau, and Zaki Wahhaj - Centre for Research in Development Economics
(CRED) - University of Namur
2Outline of the presentation
- Introduction/motivations
- Description of the model
- Results
- A dynamic framework
- Illustrations
3Introduction
- Legal Pluralism several law systems coexist
4Introduction
- Legal Pluralism several law systems coexist
- ? legal system or formal law (formal
institutions)
5Introduction
- Legal Pluralism several law systems coexist
- ? legal system or formal law (formal
institutions) - ? customary principles or informal rules
(informal institutions)
6Introduction
- Legal Pluralism several law systems coexist
- ? legal system or formal law (formal
institutions) - ? customary principles or informal rules
(informal institutions)
The formal law is intended for either replacing
1 or complementing 2 the informal rule.
7Introduction
- Legal Pluralism several law systems coexist
- ? legal system or formal law (formal
institutions) - ? customary principles or informal rules
(informal institutions)
The formal law is intended for either replacing
1 or complementing 2 the informal rule. 1
legal pluralism is conceived of as a temporary
outcome
8Introduction
- Legal Pluralism several law systems coexist
- ? legal system or formal law (formal
institutions) - ? customary principles or informal rules
(informal institutions)
The formal law is intended for either replacing
1 or complementing 2 the informal rule. 1
legal pluralism is conceived of as a temporary
outcome 2 legal pluralism is seen as a
permanent situation (different laws deal with
different matters)
9Introduction
- In the case in which legal pluralism is seen as a
temporary outcome, substituting the formal for
the informal law may obey two distinct
rationales.
10Introduction
- In the case in which legal pluralism is seen as a
temporary outcome, substituting the formal for
the informal law may obey two distinct
rationales.
- formal law uniformizes, codifies and simplifies
the customary rules and practices - ? informal rules appear to be the foundations
on which formal rules are built (Knight 1992,
North 1990)
11Introduction
-
- (2) formal law aims at bringing a change that
the custom inhibits - ? formal and informal laws are seen as
conflicting with each other -
12Introduction
- Two different problems can arise when legal
pluralism is intended to be temporary -
-
13Introduction
- Two different problems can arise when legal
pluralism is intended to be temporary -
- (1) There may be an uncertainty about whether
the formal law or the custom actually applies. - ? Aoki 2001, Greif 2006
- ? Knight 1992
- ? Basu 2000
14Introduction
- (2) There may be manipulation of the state of
legal - pluralism by the privileged group in societies
strongly - differentieted in terms of power and social
status. -
- Example laws providing for formal land rights or
titles (Doornbos 1975, Glazier 1985, Barrows
and Roth 1989, Berry 1993, Platteau 2000,
Jacoby and Minten)
15Introduction
- Conventional view in literature
-
- Except in cases where the statutory law is
grounded in customary rules which it attends to
formalize and simplify, legal pluralism tends to
produce neutral or negative effects.
16Introduction
- In our research project
- a more general approach of legal pluralism
17Introduction
- In our research project
- a more general approach of legal pluralism
- in reality, customary rules are continuously
evolving. - the transformation of customs may partly occur as
a result of the existence of statutory laws which
have the effect of conferring a stronger
bargaining position on some particular section(s)
of the population. -
18Introduction
- In our research project
- a more general approach of legal pluralism
- in reality, customary rules are continuously
evolving. - the transformation of customs may partly occur as
a result of the existence of statutory laws which
have the effect of conferring a stronger
bargaining position on some particular section(s)
of the population. - ? local landholding systems are not the
expression of an unchanging traditional law,
but the fruit of a process of social change,
which incorporates the effect of national
legislation (Lavigne Delville 2000)
19Introduction
- Punchline of the paper
- Even if the formal law is not resorted to in an
explicit manner the simple fact that it exists
and that people whose interests concur in its
prescriptions can threaten to use it, might
create a situation in which its objectives are
partly met.
20Introduction
- Punchline of the paper
- Even if the formal law is not resorted to in an
explicit manner, the simple fact that it exists
and that people whose interests concur in its
prescriptions can threaten to use it, might
create a situation in which its objectives are
partly met.
In this case - we may observe a permanent
coexistence of the two types of law even when the
intent of the legislator is to substitute the
formal law for the custom.
21Introduction
- Punchline of the paper
- Even if the formal law is not resorted to in an
explicit manner, the simple fact that it exists
and that people whose interests concur in its
prescriptions can threaten to use it, might
create a situation in which its objectives are
partly met.
In this case - we may observe a permanent
coexistence of the two types of law even when the
intent of the legislator is to substitute the
formal law for the custom. - legal pluralism may
obtain as a self-perpetuating equilibrium outcome
of strategic interactions between arbiters and
claimants.
22Introduction
- Our approach differs from the literature on the
economic analysis of law in three respects - the study of customary judges behavior
- the study of the mechanism through which the
customary law evolves as the formal law gets
introduced or changed - the role of inequality is adressed
23Introduction
- Our approach differs from the literature on the
economic analysis of law in three respects - the study of customary judges behavior
- the study of the mechanism through which the
customary law evolves as the formal law gets
introduced or changed - the role of inequality is adressed
- BUT we remain in the tradition of the economic
analysis of law by - modelling the customary judge as a rational
agent maximizing his uility - assuming that this utility arises from prestige
motives and from the desire to write a decision
that is close to the customary judge's
preferences
24Introduction
- Alternative dispute resolution (ADR)
- use of arbitration or mediation
- The reality of developing countries severely
limits the applicability of the existing analysis
of ADR - developped and developing countries differ in
terms of legal integration - competition mechanism cannot be easily
translated into developing countries' setting
25Description of the model
26Description of the model
- 3 agents R, P and M
- Possible verdicts ? 0,1
- 0 being the most favourable verdict for R
- 1 being the most favourable verdict for P
27Description of the model
- 3 agents R, P and M
- Possible verdicts ? 0,1
- 0 being the most favourable verdict for R
- 1 being the most favourable verdict for P
- The mediator M he has a preferred verdict I
the communitys dominant custom at the present
time.
28Description of the model
- 3 agents R, P and M
- Possible verdicts ? 0,1
- 0 being the most favourable verdict for R
- 1 being the most favourable verdict for P
- The mediator M he has a preferred verdict I
the communitys dominant custom at the present
time. - The mediator chooses a verdict vM ? 0,1.
Therefore, the interval is his strategy set.
29Description of the model
30Description of the model
- The formal judge
- Reasons of the unpredictability of the formal
judges verdict vF - asymetries of information
- existence of several bodies of law available to
the formal judge - the subjectivity of the judge
31Description of the model
- The formal judge
- Reasons of the unpredictability of the formal
judges verdict vF - asymetries of information
- existence of several bodies of law available to
the formal judge - the subjectivity of the judge
- cR and cP capture the administrative cost of
going to a formal court.
32Description of the model
- Once the dispute is resolved, the players
participate in a social exchange game
33Description of the model
- Once the dispute is resolved, the players
participate in a social exchange game - the agent who appeals to the formal law is
excluded
34Description of the model
- Once the dispute is resolved, the players
participate in a social exchange game - the agent who appeals to the formal law is
excluded - all non-excluded agents participate in the
production of a public good
35Description of the model
- Once the dispute is resolved, the players
participate in a social exchange game - the agent who appeals to the formal law is
excluded - all non-excluded agents participate in the
production of a public good - Q(Z) is the benefit of the public good (Z A, AR
, AP)
36Description of the model
- Once the dispute is resolved, the players
participate in a social exchange game - the agent who appeals to the formal law is
excluded - all non-excluded agents participate in the
production of a public good - Q(Z) is the benefit of the public good (Z A, AR
, AP) - Cost-sharing rule each non excluded agent K
contributes CK(Z) to the public good (K R, P or
M)
37Description of the model
- Once the dispute is resolved, the players
participate in a social exchange game - the agent who appeals to the formal law is
excluded - all non-excluded agents participate in the
production of a public good - Q(Z) is the benefit of the public good (Z A, AR
, AP) - Cost-sharing rule each non excluded agent K
contributes CK(Z) to the public good (K R, P or
M) - We assume Q(Z) CK(Z) gt 0, for any Z and K.
38Description of the model
- Ms utility is
-
-
-
- Where X is the prestige in utility terms that the
mediator acquires from having his verdict
unchallenged
39Description of the model
40Description of the model
41Timing of the game
- One-shot sequential game
- 3 players the mediator, the rich agent, the
poor agent
42Timing of the game
- One-shot sequential game
- 3 players the mediator, the rich agent, the
poor agent - TIMING
- The institutions of the formal court are set.
43Timing of the game
- One-shot sequential game
- 3 players the mediator, the rich agent, the
poor agent - TIMING
- The institutions of the formal court are set.
- M chooses verdict vM
44Timing of the game
- One-shot sequential game
- 3 players the mediator, the rich agent, the
poor agent - TIMING
- The institutions of the formal court are set.
- M chooses verdict vM
- P decides whether to appeal to the formal court
(F) if she chooses F, the community excludes
her, the social game without P is played, and the
payoffs of all parties are determined.
45Timing of the game
- One-shot sequential game
- 3 players the mediator, the rich agent, the
poor agent - TIMING
- The institutions of the formal court are set.
- M chooses verdict vM
- P decides whether to appeal to the formal court
(F) if she chooses F, the community excludes
her, the social game without P is played, and the
payoffs of all parties are determined. - Otherwise, R decides whether to bring the case to
the formal court (F) if she chooses F, the
community excludes her, the social game without R
is played, and the payoffs of all parties are
determined.
46Timing of the game
- One-shot sequential game
- 3 players the mediator, the rich agent, the
poor agent - TIMING
- The institutions of the formal court are set.
- M chooses verdict vM
- P decides whether to appeal to the formal court
(F) if she chooses F, the community excludes
her, the social game without P is played, and the
payoffs of all parties are determined. - Otherwise, R decides whether to bring the case to
the formal court (F) if she chooses F, the
community excludes her, the social game without R
is played, and the payoffs of all parties are
determined. - Otherwise, both parties accept the verdict vM,
the social game without exclusion is played and
the payoffs of all parties are determined.
47Equilibrium
- We solve by backward induction
48Equilibrium
- We solve by backward induction
0
49Equilibrium
- We solve by backward induction
50Equilibrium
- We solve by backward induction
- The case will go unappealed iff vM ? (I , I)
51Equilibrium
- We solve by backward induction
- The case will go unappealed iff vM ? (I , I)
52Equilibrium
- We solve by backward induction
- The case will go unappealed iff vM ? (I , I)
Where R is indifferent
Where P is indifferent
53Equilibrium
- We solve by backward induction
- The case will go unappealed iff vM ? (I , I)
54Equilibrium
- We solve by backward induction
- The case will go unappealed iff vM ? (I , I)
55Equilibrium
- (a) I lt I
- A critical verdict value at which the judges
payoff from letting go equals that of keeping the
case in is given by the following equation - If lt I, M lets the case go to the formal
court
56Equilibrium
- (a) I lt I
- A critical verdict value at which the judges
payoff from letting go equals that of keeping the
case in is given by the following equation - If lt I, M lets the case go to the formal
court
57Equilibrium
- (a) I lt I
- A critical verdict value at which the judges
payoff from letting go equals that of keeping the
case in is given by the following equation - If lt I, M lets the case go to the formal
court
? equilibrium vF
58Equilibrium
- (a) I lt I
- A critical verdict value at which the judges
payoff from letting go equals that of keeping the
case in is given by the following equation - If gt I, M chooses I and thus keeps the case
in.
59Equilibrium
- (a) I lt I
- A critical verdict value at which the judges
payoff from letting go equals that of keeping the
case in is given by the following equation - If gt I, M chooses I and thus keeps the case
in.
? equilibrium I
60Equilibrium
- (b) I gt I
- A critical verdict value at which the judges
payoff from letting go equals that of keeping the
case in is given bythe following equation - If I lt v , M lets the case go to the formal
court.
I
I
0
1
I
61Equilibrium
- (b) I gt I
- A critical verdict value at which the judges
payoff from letting go equals that of keeping the
case in is given bythe following equation - If I lt v , M lets the case go to the formal
court.
62Equilibrium
- (b) I gt I
- A critical verdict value at which the judges
payoff from letting go equals that of keeping the
case in is given bythe following equation - If I lt v , M lets the case go to the formal
court.
63Equilibrium
- (b) I gt I
- A critical verdict value at which the judges
payoff from letting go equals that of keeping the
case in is given by the following equation - If I gt v , M chooses I and thus keeps the case
in.
v
64Equilibrium
- (b) I gt I
- A critical verdict value at which the judges
payoff from letting go equals that of keeping the
case in is given by the following equation - If I gt v , M chooses I and thus keeps the case
in.
65Equilibrium
66Equilibrium
67Comparative statics
- Proposition 1
- An increase in f, the mean verdict of the formal
judge, raises both I and I, the respective
thresholds at which the poor agent and the
rich agent are indifferent between an informal
resolution of the conflict and an appeal to the
formal court. -
-
68Comparative statics
- Proposition 1
- An increase in f, the mean verdict of the formal
judge, raises both I and I, the respective
thresholds at which the poor agent and the
rich agent are indifferent between an informal
resolution of the conflict and an appeal to the
formal court. -
-
69Comparative statics
- Proposition 1
- An increase in f, the mean verdict of the formal
judge, raises both I and I, the respective
thresholds at which the poor agent and the
rich agent are indifferent between an informal
resolution of the conflict and an appeal to the
formal court. -
- An increase in f, which corresponds to a
decrease in the variance of the formal verdict,
raises I and decreases I.
70Comparative statics
- Proposition 1
- An increase in f, the mean verdict of the formal
judge, raises both I and I, the respective
thresholds at which the poor agent and the
rich agent are indifferent between an informal
resolution of the conflict and an appeal to the
formal court. -
- An increase in f, which corresponds to a
decrease in the variance of the formal verdict,
raises I and decreases I.
71Comparative statics
- Proposition 1
- (ii) An increase in cP, the cost of access to the
formal court for the poor agent, decreases his
threshold verdict I. Similarly, an increase in
cR, the cost of access to the formal court for
the rich agent, increases his threshold verdict
I.
72Comparative statics
- Proposition 1
- (ii) An increase in cP, the cost of access to the
formal court for the poor agent, decreases his
threshold verdict I. Similarly, an increase in
cR, the cost of access to the formal court for
the rich agent, increases his threshold verdict
I.
73Comparative statics
- Proposition 1
- (ii) An increase in cP, the cost of access to the
formal court for the poor agent, decreases his
threshold verdict I. Similarly, an increase in
cR, the cost of access to the formal court for
the rich agent, increases his threshold verdict
I.
74Comparative statics
- Proposition 1
- (iii) An increase in the net benefit from the
social game, expands the interval (I , I) in
which both parties are satisfied with the verdict
of the mediator.
75Comparative statics
- Proposition 1
- (iii) An increase in the net benefit from the
social game, expands the interval (I , I) in
which both parties are satisfied with the verdict
of the mediator.
I
I
76Comparative statics
- Proposition 2
- An increase in X, the prestige associated with
mediating a case, raises , the upper
threshold above which the mediator lets the case
go to the formal court and lowers , the
corresponding lower threshold.
1
0
I
77Comparative statics
- Proposition 2
- An increase in X, the prestige associated with
mediating a case, raises , the upper
threshold above which the mediator lets the case
go to the formal court and lowers , the
corresponding lower threshold.
1
0
I
78Comparative statics
- Proposition 2
- An increase in X, the prestige associated with
mediating a case, raises , the upper
threshold above which the mediator lets the case
go to the formal court and lowers , the
corresponding lower threshold.
1
0
I
I
I
79Comparative statics
- Proposition 2
- An increase in X, the prestige associated with
mediating a case, raises , the upper
threshold above which the mediator lets the case
go to the formal court and lowers , the
corresponding lower threshold.
1
0
I
I
I
80Comparative statics
- Proposition 2
- An increase in X, the prestige associated with
mediating a case, raises , the upper
threshold above which the mediator lets the case
go to the formal court and lowers , the
corresponding lower threshold.
1
0
I
I
I
81Comparative statics
- Proposition 2
- An increase in X, the prestige associated with
mediating a case, raises , the upper
threshold above which the mediator lets the case
go to the formal court and lowers , the
corresponding lower threshold.
82Comparative statics
- Proposition 2
- An increase in X, the prestige associated with
mediating a case, raises , the upper
threshold above which the mediator lets the case
go to the formal court and lowers , the
corresponding lower threshold.
83Comparative statics
- Proposition 2
- An increase in X, the prestige associated with
mediating a case, raises , the upper
threshold above which the mediator lets the case
go to the formal court and lowers , the
corresponding lower threshold.
1
84Comparative statics
- Proposition 2
- An increase in X, the prestige associated with
mediating a case, raises , the upper
threshold above which the mediator lets the case
go to the formal court and lowers , the
corresponding lower threshold.
85Comparative statics
- Proposition 2
- An increase in X, the prestige associated with
mediating a case, raises , the upper
threshold above which the mediator lets the case
go to the formal court and lowers , the
corresponding lower threshold.
86Comparative statics
- Proposition 2
- (ii) An increase in the net gain to the mediator
from the participation of the rich agent in the
social game lowers Correspondingly, an
increase in the net gain to the mediator from the
participation of the poor agent in the social
game, increases .
87Comparative statics
- Proposition 2
- (ii) An increase in the net gain to the mediator
from the participation of the rich agent in the
social game lowers Correspondingly, an
increase in the net gain to the mediator from the
participation of the poor agent in the social
game, increases .
88Comparative statics
- Proposition 2
- (ii) An increase in the net gain to the mediator
from the participation of the rich agent in the
social game lowers Correspondingly, an
increase in the net gain to the mediator from the
participation of the poor agent in the social
game, increases .
v
0
I
1
89Comparative statics
- Proposition 2
- (ii) An increase in the net gain to the mediator
from the participation of the rich agent in the
social game lowers Correspondingly, an
increase in the net gain to the mediator from the
participation of the poor agent in the social
game, increases .
v
0
I
1
90Dynamic framework
- Community size matters
- Y (n) increasing and concave
- X (n) increasing and concave
91Dynamic framework
- Community size matters
- Y (n) increasing and concave
- X (n) increasing and concave
- The community consists of N individuals either
rich or poor.
92Dynamic framework
- Community size matters
- Y (n) increasing and concave
- X (n) increasing and concave
- The community consists of N individuals either
rich or poor. - The population is heterogenous. The agents differ
in terms of their outside option. - F(?) is the fraction of the population whith a
per period outside option below ?.
93Dynamic framework
- Community size matters
- Y (n) increasing and concave
- X (n) increasing and concave
- The community consists of N individuals either
rich or poor. - The population is heterogenous. The agents differ
in terms of their outside option. - F(?) is the fraction of the population whith a
per period outside option below ?. - In any period, a fraction d of the population is
engaged in disputes.
94Dynamic framework
- Community size matters
- Y (n) increasing and concave
- X (n) increasing and concave
- The community consists of N individuals either
rich or poor. - The population is heterogenous. The agents differ
in terms of their outside option. - F(?) is the fraction of the population whith a
per period outside option below ?. - In any period, a fraction d of the population is
engaged in disputes. - The informal judge chooses a unique within
any period t.
95Dynamic framework
- Given , a threshold value for which the
poor agent is indifferent between choosing the
informal and the formal court is given by
96Dynamic framework
H(n,v)
n, community size
97Dynamic framework the steady state
98Dynamic framework the steady state
- And
- If , a process of exclusion will
make the population shrink until the size .
99Dynamic framework the steady state
- And
- If , a process of exclusion will
make the population shrink until the size . - If , the exclusion process will
never begin.
100Dynamic framework the steady state
- A change in any of the parameters
affects for each n and v and gives rise
to a new steady state. -
101Dynamic framework the steady state
- A change in any of the parameters
affects for each n and v and gives rise
to a new steady state. -
102Dynamic framework the steady state
- A change in any of the parameters
affects for each n and v and gives rise
to a new steady state. -
103Dynamic framework
- The choice of is endogenous to the strategy
of the informal judge. The custom that maximises
the steady-state level of utility for the
informal judge is given by -
104Dynamic framework comparative statics
105Dynamic framework
- If it is too costly for the informal judge to
adapt the custom, he will choose ,
which will lead to the exodus of all the poor
people of the community. In this case, we have -
106Dynamic framework the effect of inequality
- The optimal choice of law for the informal judge
depends on the distribution of outside options in
the poor section of the community. - Lets take 2 different distributions
107Dynamic framework the effect of inequality
- The two effects of an increase in inequality are
described in the following graphs
108Dynamic framework the effect of inequality
- Proposition 5
- The impact of increasing inequality on the custom
can be decomposed into two effects. - First, the pivoting of the distribution of
outside options tends to make the custom less
favorable to the poor. - Second, the shift in the distribution makes the
custom more or less pro-poor, depending on
whether the outside option of the individual who
is indifferent between the two legal systems in
the initial steady-state gains or loses in the
redistribution. -
109Welfare analysis
- The aggregate social welfare of the poor
individuals in the population is given by
110Welfare analysis
- The aggregate social welfare of the poor
individuals in the population is given by - The marginal effect on social welfare of a
pro-poor legal reform is
111Welfare analysis
- The aggregate social welfare of the poor
individuals in the population is given by - The marginal effect on social welfare of a
pro-poor legal reform is - ? A legal reform that makes the formal law more
favourable to the poor has three distinct effects
on the welfare of the poor.
112Welfare analysis
- Under what conditions a moderate pro-poor reform
can be superior to a radical reform? - Proposition 6
- If the elasticity of the marginal benefit of the
scial game with respect to the size of the
community is below 1 and utility is linear in the
outcome of a dispute, then either abiding by the
custom or carrying out a radical reform dominates
a moderate reform in the formal law in terms of
the social welfare of the poor.
113Welfare analysis
- If the net benefit from the social exchange game
is sufficiently sensitive to the size of the
community and if the utility function is
sufficiently concave, the social welfare function
is concave, implying that the implementation of a
moderate law is the optimal reform.
114Illustrations
- The case of womens inheritance rights in the
Senegal river valley
115Illustrations
- The case of womens inheritance rights in the
Senegal river valley - Muslim population
- Quranic prescription vs. customary principle
116Illustrations
- The case of womens inheritance rights in the
Senegal river valley - Muslim population
- Quranic prescription vs. customary principle
- Important benefits from the social game for women
117Illustrations
- The case of womens inheritance rights in the
Senegal river valley - Muslim population
- Quranic prescription vs. customary principle
- Important benefits from the social game for women
- Over the last decade, the cost of being excluded
from the social game has fallen
118Illustrations
- The case of womens inheritance rights in the
Senegal river valley - Muslim population
- Quranic prescription vs. customary principle
- Important benefits from the social game for women
- Over the last decade, the cost of being excluded
from the social game has fallen - Educational and employment opportunities enable
the more progressively-minded women to reveal
preferences and to manifest opposition against
customary practices.
119Illustrations
- The case of womens inheritance rights in the
- Senegal river valley
- Muslim population
- Quranic prescription vs. customary principle
- Important benefits from the social game for women
- Over the last decade, the cost of being excluded
from the social game has fallen - Educational and employment opportunities enable
- the more progressively-minded women to reveal
preferences and to manifest opposition against
customary practices. - Recently, we observe an evolving practice of
transfers to compensate women from their
exclusion from inheritance.
120- In urban areas, when womens organisations are
active, the fall in cost of access to court makes
a recourse to it more attractive, potentially so
much more attractive that the custom does not
evolve at all.
121- In urban areas, when womens organisations are
active, the fall in cost of access to court makes
a recourse to it more attractive, potentially so
much more attractive that the custom does not
evolve at all. - In India (Jharkand), the Santal Pargana Tenancy
Act (1949) recognises womens inheritance rights
through marriage to a resident son-in-law but
only if there is no male heir in the womans
family. It had an effect because this law does
not represent too radical a departure from
custom.
122- In urban areas, when womens organisations are
active, the fall in cost of access to court makes
a recourse to it more attractive, potentially so
much more attractive that the custom does not
evolve at all. - In India (Jharkand), the Santal Pargana Tenancy
Act (1949) recognises womens inheritance rights
through marriage to a resident son-in-law but
only if there is no male heir in the womans
family. It had an effect because this law does
not represent too radical a departure from
custom. - Same conclusion in the case of Law N 98-750
(1998) in the Côte dIvoire, which grants
long-term leasehold rights to immigrant farmers.
123- When land becomes quite scarce, the custom
evolves regressively (the preferred judgement of
customary authority, I, moves closer to zero),
with the result that women have more incentive to
appeal to the modern court.
124Conclusion
- There may little gain from a strong state bent on
imposing radical reforms even in the name of
equity. - It may be more effective for the state to exert
its influence in an indirect manner that does not
overlook the custom.