Risky products cause two types of costs for society; the accident costs and the insurance costs. Liability rules allocate these costs between the parties involved. The expansion in the scope of product liability over the past thirty years has increased the cost of third-party liability...

This landmark collection of essays provides an overview of the essential theories and methods used in the study of law and economics. The editors' careful selection includes substantial contributions from other disciplines that shed new light on the assumptions, theories and methods that may...