This paper analyzes the workings of liability when harm-inflicting consumers are present biased and both product safety … the manufacturer, in stark contrast with the baseline scenario in which strict consumer liability induces socially optimal … product safety and precaution levels. In addition, we establish that strict liability with contributory negligence may induce …

In the economic analysis of liability law, information about accident risk and how it can be influenced by precautions … strict liability and negligence, showing that liability law may not induce efficient incentives. …