Opportunistic renegotiation of infrastructure concessions as rent seeking: the effect of legal systems Gabriel Garcia Morales
AbstractThis paper examines the problem of renegotiation of infrastructure concessions in Latin America using a model of litigation with an application to incentive contracts. Opportunistic renegotiation is here defined as a rent seeking game, to show the effect of the legal system characteristics in the probability of renegotiation. A main conclusion is that legal systems where each party pays for their own legal expenses, such as the American, are more prone to opportunistic renegotiation. On the other hand, systems, such as the British, that concentrates legal expenses in one party might discourage opportunistic behavior by making it more costly.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by UNIVERSIDAD TECNOLÓGICA DE BOLÍVAR in its journal REVISTA ECONOMÍA & REGIÓN.
Volume (Year): (2011)
Issue (Month): ()
Contact details of provider:
Auctions; fee-shifting; incentives; litigation; public choice; rent seeking.;
Find related papers by JEL classification:
- D44 - Microeconomics - - Market Structure and Pricing - - - Auctions
- D86 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Economics of Contract Law
- D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Klein, Daniel B, 1990.
"The Voluntary Provision of Public Goods? The Turnpike Companies of Early America,"
Western Economic Association International, vol. 28(4), pages 788-812, October.
- Klein, D., 1989. "The Voluntary Provision Of Public Goods? The Turnpike Companies Of Early America," Papers 89-08, California Irvine - School of Social Sciences.
- Klein, Daniel, 1990. "The Voluntary Provision of Public Goods? The Turnpike Companies of Early America," University of California Transportation Center, Working Papers qt0js4r8h9, University of California Transportation Center.
- Klein, Daniel B., 1990. "The Voluntary Provision of Public Goods? The Turnpike Companies of Early America," University of California Transportation Center, Working Papers qt2587p3z1, University of California Transportation Center.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Roberto Fortich).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.