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Adversarial and Inquisitorial Procedures in Arbitration

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  • Hyun Song Shin
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    Abstract

    How should a dispute be settle between two opposing parties? The adversarial procedure invites the parties to make their cases to an impartial arbitrator, while the inquisitorial procedure requires the arbitrator to adjudicate on the basis of his own investigations. Even if it is assumed that the arbitrator is, on average, as well informed as the two opposing parties, the adversarial procedure is shown to be strictly superior. This superiority stems from the ability within the adversarial procedure to allocate the burden of proof in an effective manner, and thereby extract the maximal informational content from apparently inconclusive contests.

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    Bibliographic Info

    Article provided by The RAND Corporation in its journal RAND Journal of Economics.

    Volume (Year): 29 (1998)
    Issue (Month): 2 (Summer)
    Pages: 378-405

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    Handle: RePEc:rje:randje:v:29:y:1998:i:summer:p:378-405

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    Cited by:
    1. Stergios Skaperdas & Samarth Vaidya, 2012. "Persuasion as a contest," Economic Theory, Springer, vol. 51(2), pages 465-486, October.
    2. Lagerlof, Johan N.M. & Heidhues, Paul, 2005. "On the desirability of an efficiency defense in merger control," International Journal of Industrial Organization, Elsevier, vol. 23(9-10), pages 803-827, December.
    3. Horn, Henrik, 2011. "The burden of proof in trade disputes and the environment," Journal of Environmental Economics and Management, Elsevier, vol. 62(1), pages 15-29, July.
    4. Matteo Rizzolli & Margherita Saraceno, 2013. "Better that ten guilty persons escape: punishment costs explain the standard of evidence," Public Choice, Springer, vol. 155(3), pages 395-411, June.
    5. Winand Emons & Claude Fluet, 2009. "Adversarial versus Inquisitorial Testimony," Diskussionsschriften dp0904, Universitaet Bern, Departement Volkswirtschaft.
    6. Bruno Deffains & Claude Fluet, 2013. "The Role of Social Image Concerns in the Design of Legal Regimes," Cahiers de recherche 1321, CIRPEE.
    7. Florian Schuett, 2009. "Inventors and Impostors: An Economic Analysis of Patent Examination," Economics Working Papers ECO2009/28, European University Institute.
    8. Horn, Henrik, 2009. "The Burden of Proof in National Treatment Disputes and the Environment," CEPR Discussion Papers 7316, C.E.P.R. Discussion Papers.
    9. Massenot, Baptiste, 2011. "Financial development in adversarial and inquisitorial legal systems," Journal of Comparative Economics, Elsevier, vol. 39(4), pages 602-608.
    10. Klaas J. Beniers & Robert A.J. Dur & Otto H. Swank, 2002. "Sequential Advocacy," Tinbergen Institute Discussion Papers 02-016/1, Tinbergen Institute, revised 10 Jun 2003.

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