PHILOS 2Q03 Chapter Notes - Chapter Law and Economics: Pareto Efficiency, Richard Posner, Jurisprudence
1 Apr 2018
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Document Summary
Law and economics movement applies economic theory and method to the practice of law. One of the dominant theories of jurisprudence. Law is best viewed as a social tool that promotes economic efficiency. That economic analysis and efficiency as an ideal can guide legal practice . Legislation should be used to improve market conditions. Two influential theories of law: legal positivism and dworkin"s law as integrity offer assumptions of the philosophy of law. 1. both agree that it is important for a philosophical theory of law to define core aspects of proper legal practice. Instead, economic theorists aim to investigate legal practices through the means of economic analysis. Law as a tool to encourage economic efficiency: basic concepts in economic reasoning. We assume humans are rational maximizers of their individual satisfactions. A rational maximize of personal satisfaction adjusts means to ends in the most efficient way possible. In economics, this is not restricted to monetary issues and satisfactions.
