Environmental Liability and Regulation: An Empirical Study of the French Institutional Division of Labour
AbstractReasons for the joint use of ex ante regulation and ex post liability to cope with environmental accidents have been a longstanding issue in law and economics literature. This article, which includes the first empirical study of the French environmental legal system, analyzes courts’ decisions when injurers complied with regulatory standards. The results support a general trend toward a clear division of labour between regulation and liability: when both are jointly used, liability encourages aspects of care that are difficult to regulate, especially human behaviour and organization within dangerous entities. An unexpected effect of liability is observed: judges are more severe with the most regulated firms and public agents compared to smaller, private actors. This might be interpreted as complementing regulation when enforcement of regulatory standards is thought to be weak.
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Bibliographic InfoPaper provided by Aix-Marseille Université, CERGAM in its series CAE Working Papers with number 98.
Length: 26 pages
Date of creation: Apr 2012
Date of revision:
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More information through EDIRC
Regulation; Liability; Environmental Risk; Institutional Design;
Find related papers by JEL classification:
- K13 - Law and Economics - - Basic Areas of Law - - - Tort Law and Product Liability; Forensic Economics
- K32 - Law and Economics - - Other Substantive Areas of Law - - - Environmental, Health, and Safety Law
- K41 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Litigation Process
- L51 - Industrial Organization - - Regulation and Industrial Policy - - - Economics of Regulation
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.:
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PSE Working Papers
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Jena Economic Research Papers
2012-012, Friedrich-Schiller-University Jena, Max-Planck-Institute of Economics.
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- Vera Angelova & Olivier Armantier & Giuseppe Attanasi & Yolande Hiriart, 2013. "Relative Performance of Liability Rules: Experimental Evidence," Working Papers 2013-03, CRESE.
- Angelova, Vera & Attanasi, Giuseppe & Hiriart, Yolande, 2012. "Relative Performance of Liability Rules: Experimental Evidence," TSE Working Papers 12-304, Toulouse School of Economics (TSE), revised Sep 2012.
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"On the Optimal Use of Ex Ante Regulation and Ex Post Liability,"
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274, Institut d'Économie Industrielle (IDEI), Toulouse.
- Hiriart, Yolande & Martimort, David & Pouyet, Jerome, 2004. "On the optimal use of ex ante regulation and ex post liability," Economics Letters, Elsevier, vol. 84(2), pages 231-235, August.
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