Preliminary -- Introduction -- The Economics of Tort Law:Basics and Selected Core Themes -- On the Incentive Effects of Damage Averaging in Tort Law -- On the Superiority of Damage Averaging in the Case of Strict Liability -- Screening Accident Victims -- A Note on Judgment Proofness and Risk...

In 1996, statutory sick pay was reduced for private sector workers in Germany. Using the empirical observation that trade union members are dismissed less often than non-members, we construct a model to predict how absence behaviour will respond to the sick pay reform. We show that union members...