The power of forgiveness

I often hear people speak of the need to punish offenders. Yet I often wonder what purpose punishment really serves. I know for example that if a person steals something from me, I am likely to feel angry, and want to strike back at that person. However such violence does not seem to bring me peace. It rarely resolves anything, and I do not really get deep satisfaction from seeing him be punished. I do have a desire to see the person caught and confronted regarding the impact of what he did, and would like him to not offend again. By forgiving, I can let go of my anger and my desire to punish. It frees me to think about ways to make a difference, possibly reducing the likelihood of more offences.
I probably also would benefit for forgiving myself for my part in having had the offence happen. I am more likely to find useful answers to questions such as "why did I not arrange better security" if I forgive.
See also http://peterpullar.com/overcomming_violence.htm