We explore extended liability for bank shareholders as a method for mitigating moral hazard in insured banks. The … propose this difficult practice can be sidestepped by embracing a legal environment where banks face healthier incentives. We … discuss the various kinds of extended liability regimes, show how they worked historically, and address several concerns about …

Physicians are traditionally liable under a negligence rule of liability. Economic analysis of liability rules …, including malpractice, assumes that the primary function of liability is injury prevention (deterrence). Compensation can be … provided more efficiently through other forms of social or private insurance. In theory, a negligence rule creates incentives …

cycles; insurance price regulation; insurance company capital adequacy and capital regulation; the development of insurance …

This paper empirically analyzes moral hazard in car insurance using a dynamic theory of an insuree's dynamic risk (ex … ante moral hazard) and claim (ex post moral hazard) choices and Dutch longitudinal micro data. We use the theory to …