Schmitz, Patrick W. (2000): On the Joint Use of Liability and Safety Regulation.
Download (202kB) | Preview
The efficiency of two different means of controlling hazardous economic activities, namely ex post liability for harm done and ex ante safety regulation, is re-examined. Some researchers have stressed that the complementary use of these two instruments can be socially advantageous. Here it is argued that the models which have been built in order to support this view crucially depend on the assumption that there are persistent enforcement errors. It is demonstrated that such a rather unsatisfactory assumption is not needed if wealth varies among injurers.
|Item Type:||MPRA Paper|
|Original Title:||On the Joint Use of Liability and Safety Regulation|
|Keywords:||Liability; Safety Regulation|
|Subjects:||L - Industrial Organization > L5 - Regulation and Industrial Policy > L51 - Economics of Regulation
K - Law and Economics > K1 - Basic Areas of Law > K13 - Tort Law and Product Liability
K - Law and Economics > K1 - Basic Areas of Law > K10 - General
|Depositing User:||Patrick W. Schmitz|
|Date Deposited:||06. Jan 2009 06:25|
|Last Modified:||17. Feb 2013 14:06|
Brown, John Prather (1973). Toward an Economic Theory of Liability. Journal of Legal Studies 2: 323--350.
Calabresi, Guido (1970). The Costs of Accidents. New Haven: Yale University Press.
Cooter, Robert D. (1991). Economic Theories of Legal Liability, Journal of Economic Perspectives 5: 11--30.
Cooter, Robert D. and Ulen, Thomas S. (1988). Law and Economics. Glenview, IL: Scott, Foresman.
Endres, Alfred (1989). Liability and Information. Journal of Institutional and Theoretical Economics 145: 249--274.
Emons, Winand (1990). Some Recent Developments in the Economic Analysis of Liability Law: An Introduction. Journal of Institutional and Theoretical Economics 146: 237--248.
Ewerhart, Christian and Schmitz, Patrick W. (1998). Ex Post Liability for Harm vs. Ex Ante Safety Regulation: Substitutes or Complements? Comment. American Economic Review 88: 1027.
Hart, Oliver (1995). Firms, contracts, and financial structure. Oxford: Clarendon Press.
Kaplow, Louis and Shavell, Steven (1996). Accuracy in the Assessment of Damages. Journal of Law and Economics 39: 191--210.
Kolstad, Charles D., Ulen, Thomas S., and Johnson Gary V. (1990). Ex Post Liability for Harm vs. Ex Ante Safety Regulation: Substitutes or Complements? American Economic Review 80: 888--901.
Moore, John (1992). Implementation, Contracts and Renegotiation in Environments with Symmetric Information. In: Laffont, J.-J. (ed.), Advances in Economic Theory. Cambridge, University Press.
Polinsky, A. Mitchell and Shavell, Steven (1991). A Note on Optimal Fines When Wealth Varies Among Individuals. American Economic Review 81: 618--621.
Rose-Ackerman, Susan (1991). Regulation and the Law of Torts. American Economic Review 81: 54--58.
Schäfer, Hans-Bernd and Ott, Claus (1995). Lehrbuch der ökonomischen Analyse des Zivilrechts, 2. Auflage. Berlin, Heidelberg: Springer-Verlag.
Schmitz, Patrick W. (2001). The Hold-up Problem and Incomplete Contracts: A Survey of Recent Topics in Contract Theory. Bulletin of Economic Research 53: 1--17.
Schwarze, Reimund (1996). The Role of Common Law in Environmental Policy: Comment. Public Choice 89: 201--205.
Shavell, Steven (1984a). A Model of the Optimal Use of Liability and Safety Regulation. Rand Journal of Economics 15: 271--280.
Shavell, Steven (1984b). Liability for Harm versus Regulation of Safety. Journal of Legal Studies 13: 357--374.
Shavell, Steven (1986). The Judgement Proof Problem. International Review of Law and Economics 6: 45--58.
Shavell, Steven (1987). The Economic Analysis of Accident Law. Cambridge: Harvard University Press. Söllner, Fritz (1994). The Role of Common Law in Environmental Policy. Public Choice 80: 69--82.
Söllner, Fritz (1996). Common Law and the Environment: Reply. Public Choice 89: 207--209.
Summers, John (1983). The Case of the Disappearing Defendant: An Economic Analysis. University of Pennsylvania Law Review 132: 145--185.
Weitzman, Martin L. (1974). Prices vs. Quantities. Review of Economic Studies 41: 447--491.
Wittman, Donald (1977). Prior Regulation versus Post Liability: The Choice between Input and Output Monitoring. Journal of Legal Studies 6: 193--212.