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Taxation and liability are compared here as means of controlling harmful externalities. It is emphasized that liability …
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importance in controlling harmful externalities. I compare the tax and liability here in theory and suggest that the conclusions … harmful externalities, its actual use has been limited, mainly to the domain of pollution. Liability, in contrast, has great …
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Overly strict legal standards are commonly thought to discourage parties from engaging in socially desirable activities. It is explained here, however, that excessive legal standards cannot lead to undesirable curtailment of activities when legal standards are enforced by liability for...
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