The Law and Economics Approach to Property

This short paper written for a symposium issue of the Property Law Review on "Research Methods in Property Law," provides a concise introduction to the ways in which property rights (and duties) structure economic relations and, in turn, are influenced by economic considerations. Among the topics covered are: (a) property as a functional "institution" that not only facilitates exchange but also supports resource conservation (via the right to exclude); (b) Coasian comparative institutional analysis as a research method based on transaction costs; (c) property conflicts as joint- or social-cost problems; (d) the law and economics of property remedies; and (e) the under-explored variety and complexity of property regimes. The paper concludes with the obvious point (but one often ignored by legal scholars) that a thorough understanding of property law (including public and common property, as well as private property) requires attention to the vital economic functions it serves in virtually all societies