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LAW and Economics 4 questions


Law And Economics




Cooter, Robert and Thomas Ulen. 2011. Law and Economics. Sixth Edition. Boston: Pearson Addison Wesley  (Chapter 1-4)


Polinksky, A. Mitchell. 2011. An Introduction to Law and Economics. Fourth Edition. New York: Aspen Publishers.  (Chapters 1-2)


Posner, Richard A. 2007. Economic Analysis of Law. Seventh Edition. Boston: Little, Brown and Company.


(Chapter 1)




2.) Discuss the adverse impacts of monopoly upon market outcomes. Discuss the impact of government’s monopoly power over coercion.


6.) Suppose the local government determines that the price of food is too high and imposes a ceiling on the market price of food that is below the equilibrium price in that locality. Predict some of the consequences of the ceiling.




10.) Consider the right to smoke or to be free from smoke in the following situations:


1. smoking in a public area.


2. smoking in hotel rooms.


3. smoking in a private residence.


4. smoking on commercial airline flights.


In which situations do you think the transaction costs are so high that they


preclude private bargaining. In what cases are they low enough to allow private


bargains to occur? Explain your answer










14.)From an economic point of view, why is stare decisis an important rule of


decision making for the courts?



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