Category Archives: Law and Economics

Richard Epstein, ‘Smart Consequentialism: Kantian Moral Theory and the (Qualified) Defense of Capitalism’

Abstract: Moral philosophers have often grappled with defining rights and duties without looking to the overall consequences of certain rules. The leading defender of that position is Immanuel Kant, whose moral theory talks about how to universalize given norms without regard to their consequences. In this essay I claim that the Kantian standards are met […]

Gregory Keating, ‘Products Liability As Enterprise Liability’

Abstract: In the American legal academy, the prevailing wisdom about the rise of modern products liability law is framed by a debate which took place more than thirty years ago. George Priest’s brilliant 1985 paper The Invention of Enterprise Liability, asserted that modern American products liability law in its formative moment was enterprise liability incarnate, […]

Bar-Gill and Porat, ‘Disclosure Rules in Contract Law’

Abstract: How does the prospect of sale affect the seller’s incentive to investigate — to acquire socially valuable information about the asset? How do the disclosure rules of contract law influence the investigation decision? Shavell (1994) showed that, if sellers and buyers are symmetrically informed, at the pre-investigation stage, then a mandatory disclosure rule leads […]

‘New Private Law and the Future of Law and Economics’

“I recently had the pleasure of attending the ‘Future of Law & Economics and the Legacy of Guido Calabresi’ conference held at Boston University School of Law. It examined the methodological, institutional, and conceptual issues raised by Judge Calabresi’s new book, The Future of Law and Economics. After two fun days, packed with delightful anecdotes […]

‘Zoning for Dollars and Drones?’

Troy A Rule, Drone Zoning, 95 North Carolina Law Review 133 (2016), available at SSRN. My family was enjoying a sunny Southern California day in our new expansive backyard with a sparkling pool and secluded privacy when, all of a sudden, a drone hovered overhead. It appeared to be watching and taunting us as one […]

Posner and Weyl, ‘Property Is Only Another Name for Monopoly’

Abstract: The existing system of private property interferes with allocative efficiency by giving owners the power to hold out for excessive prices. We propose a remedy in the form of a tax on property, based on the value self-assessed by its owner at intervals, along with a requirement that the owner sell the property to […]

Stephanie Plamondon Bair, ‘Dynamic Rationality’

Abstract: In 1998, Christine Jolls, Cass Sunstein, and Richard Thaler published A Behavioral Approach to Law and Economics, one of the most important pieces of scholarship in decades. Their Article famously proposes a departure from the classical law and economics approach to legal analysis. Breaking from classical law and economics’ rational actor construct, the authors […]

Péter Cserne, ‘Paternalism and Contract Law’

Abstract: This is an overview chapter, forthcoming in The Routledge Handbook of the Philosophy of Paternalism. I suggest a classification of contract law rules and doctrines that are potentially or prima facie paternalistic, as constitutive, procedural, informational and substantive limits to freedom of contract. I also discuss non-paternalistic rationalisations of some of these rules in […]

Juergen Backhaus, ‘Lawyers’ economics versus economic analysis of law: a critique of professor Posner’s “economic” approach to law by reference to a case concerning damages for loss of earning capacity’

Abstract: A methodological critique of the Chicago School of legal economic analysis, in particular Posner’s approach, is illustrated by an example characterizing Chicago-type ‘analysis of law’. Although the discussion of the example referred to may be interesting in its own right, its purpose here is to suggest a more general framework of criticism in order […]

Anthony Niblett, ‘On the efficiency of the common law: an application to the recovery of rewards’

Abstract: Richard Posner’s influence on the field of law and economics cannot be overstated. Among his many contributions, Posner offered an early conjecture that remains fascinating and controversial to this day: the idea that common law rules are more likely than legislative codes to be concerned with efficiency. In this paper, I compare the efficiency […]