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This paper analyzes care incentives of individuals in a bilateral-harm setting if care choices are sequential. We find that the efficient outcome is not guaranteed under any liability rule considered, irrespective of whether information is perfect or imperfect. Furthermore, it is no longer...
Persistent link: https://www.econbiz.de/10009471769
This paper defies the widely held belief concerning the unambiguous superiority of negligence in settings of judgment proofness. We analyze a set-up with bilateral harm, bilateral care, and potential judgment proofness by one party to the accident. We establish that strict liability with a...
Persistent link: https://www.econbiz.de/10009471771
.g., modest environmental impacts, avoidance of fuel price risks, coincidence with peak electrical demand, and the location of PV …
Persistent link: https://www.econbiz.de/10009436091
impacts, avoidance of fuel price risks, coincidence with peak electrical demand, and the possible deployment of PV at the …
Persistent link: https://www.econbiz.de/10009436285
forestland for other uses such as agriculture and pasture. By using data on estimated carbon sequestration, emission avoidance …
Persistent link: https://www.econbiz.de/10009436333
impacts, avoidance of fuel price risks, coincidence with peak electrical demand, and the location of PV at the point of use …
Persistent link: https://www.econbiz.de/10009436480
change both their labor supply and avoidance effort in response to tax changes. Doing so reveals that the income and … substitution effect of taxes depend on both preferences and the avoidance technology. Econometric analysis will not in general … allow one to separately identify the two influences, unless one can specify observable determinants of the cost of avoidance …
Persistent link: https://www.econbiz.de/10009477013
Standard accident models are based on the expected utility framework and represent agents’ beliefs about accident risk with a probability distribution. Consequently, they do not allow for Knightian uncertainty, or ambiguity, with respect to accident risk and cannot accommodate optimism...
Persistent link: https://www.econbiz.de/10009466424