Large law firms seem to prefer hourly fees over contingent fees. This paper provides a moral hazard explanation for this pattern of behavior. Contingent legal fees align the interests of the attorney with those of the client, but not necessarily with those of the partnership. We show that the...

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This volume provides a state-of-the-art overview of the literature on the economic analysis of tort law. In sixteen chapters, the specialist authors guide the reader through the often vast literature in each domain providing a balanced and comprehensive summary. Particular attention is paid to...

We study the standard economic model of unilateral accidents, in its simplest form, assuming that the injurers have limited assets.We identify a second-best optimal rule that selects as due care the minimum of first-best care, and a level of care that takes into account the wealth of the...

The paper deals with a bilateral accident situation in which victims have heterogeneous costs of care. With perfect information,efficient care by the injurer raises with the victim's cost. When the injurer cannot observe at all the victim's type, and this fact can be verified by Courts,...

Spain has the world’s lowest business bankruptcy rate (number of formal business bankruptcies divided by number of firms). We document this fact, analyze the Spanish institutional framework and compare it with those of other European countries. We argue that a way to organize the documented...

El mercado de la prostitución ha sido históricamente y es en la actualidad objeto de una amplia y variada gama de tratamientos legales. La literatura económica ha explorado la naturaleza de las decisiones de oferta y demanda en este mercado, tanto desde el punto de vista teórico como...

We study the standard economic model of unilateral accidents under the assumption that the injurers have limited assets. We identify a second-best optimal rule that selects as due care the minimum of first-best care and a level of care that takes into account the wealth of the injurer. We show...

Current historiography on the European decolonization processes has developed no general theory of these processes, but is rather a collection of case-based studies. Moreover, there is no consideration for counter-factual possibilities, including the analysis of those cases where independence...