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A Theory of Rational Jurisprudence

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  • Scott Baker and Claudio Mezzetti

Abstract

We examine a dynamic model of up-or-down problem solving. A decision maker can either spend resources investigating a new problem before deciding what to do, or decide based on similarity with precedent problems. Over time, a decision making framework, or jurisprudence, develops. We focus on the model?s application to judge-made law. We show that judges summarily apply precedent in some cases. The law may converge to efficient or inefficient rules. With positive probability, identical cases are treated di¤erently. As the court learns over time, inconsistencies become less likely. We discuss the existing empirical evidence and the model?s testable implications.

Suggested Citation

  • Scott Baker and Claudio Mezzetti, 2012. "A Theory of Rational Jurisprudence," Department of Economics - Working Papers Series 1144, The University of Melbourne.
    • Handle: RePEc:mlb:wpaper:1144
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    References listed on IDEAS

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    3. Spitzer, Matthew L & Talley, Eric, 2011. "Left, Right, and Center: Strategic Information Acquisition and Diversity in Judicial Panels," Berkeley Olin Program in Law & Economics, Working Paper Series qt2zj750jr, Berkeley Olin Program in Law & Economics.
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    Cited by:

    1. Ash, Elliott & MacLeod, W. Bentley, 2021. "Reducing partisanship in judicial elections can improve judge quality: Evidence from U.S. state supreme courts," Journal of Public Economics, Elsevier, vol. 201(C).
    2. Anderlini, Luca & Felli, Leonardo & Riboni, Alessandro, 2020. "Legal efficiency and consistency," European Economic Review, Elsevier, vol. 121(C).
    3. Ying Chen & Hulya Eraslan, 2018. "Learning While Setting Precedents," Koç University-TUSIAD Economic Research Forum Working Papers 1810, Koc University-TUSIAD Economic Research Forum.
    4. Chen, Daniel L., 2016. "Priming Ideology: Why Presidential Elections Affect U.S. Judges," TSE Working Papers 16-681, Toulouse School of Economics (TSE), revised Aug 2016.
    5. Elliott Ash & W. Bentley MacLeod, 2015. "Intrinsic Motivation in Public Service: Theory and Evidence from State Supreme Courts," Journal of Law and Economics, University of Chicago Press, vol. 58(4).
    6. Cosnita-Langlais, Andreea & Tropeano, Jean-Philippe, 2022. "Learning by litigating: An application to antitrust commitments," International Journal of Industrial Organization, Elsevier, vol. 80(C).
    7. Giorgio Rampa & Margherita Saraceno, 2014. "Beliefs and Precedent: The Dynamics of Access to Justice," DEM Working Papers Series 084, University of Pavia, Department of Economics and Management.
    8. Justin Fox & Georg Vanberg, 2014. "Narrow versus broad judicial decisions," Journal of Theoretical Politics, , vol. 26(3), pages 355-383, July.
    9. Anthony Niblett, 2013. "Case-by-Case Adjudication and the Path of the Law," The Journal of Legal Studies, University of Chicago Press, vol. 42(2), pages 303-330.
    10. Álvaro Bustos & Nuno Garoupa, 2020. "An Integrated Theory of Litigation and Legal Standards," Documentos de Trabajo 536, Instituto de Economia. Pontificia Universidad Católica de Chile..
    11. Clark, Tom S. & Montagnes, B. Pablo & Spenkuch, Jörg L., 2022. "Politics from the Bench? Ideology and Strategic Voting in the U.S. Supreme Court," Journal of Public Economics, Elsevier, vol. 214(C).
    12. Sean Farhang & Jonathan P. Kastellec & Gregory J. Wawro, 2015. "The Politics of Opinion Assignment and Authorship on the US Court of Appeals: Evidence from Sexual Harassment Cases," The Journal of Legal Studies, University of Chicago Press, vol. 44(S1), pages 59-85.
    13. Niblett, Anthony, 2013. "Tracking inconsistent judicial behavior," International Review of Law and Economics, Elsevier, vol. 34(C), pages 9-20.
    14. Adam B. Badawi & Scott Baker, 2015. "Appellate Lawmaking in a Judicial Hierarchy," Journal of Law and Economics, University of Chicago Press, vol. 58(1), pages 139-172.
    15. Luca Anderlini & Leonardo Felli & Alessandro Riboni, 2014. "Why Stare Decisis?," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 17(4), pages 726-738, October.
    16. Scott Baker & Gary Biglaiser, 2014. "A Model of Cause Lawyering," The Journal of Legal Studies, University of Chicago Press, vol. 43(1), pages 37-63.
    17. Álvaro Bustos, 2020. "How Does Court Stability Affect Legal Stability?," Documentos de Trabajo 535, Instituto de Economia. Pontificia Universidad Católica de Chile..
    18. Howell, William & Shepsle, Kenneth & Wolton, Stephane, 2020. "Executive Absolutism: A Model," MPRA Paper 98221, University Library of Munich, Germany.
    19. Maggi, Giovanni & Staiger, Robert W., 2020. "Learning by ruling and trade disputes," Journal of International Economics, Elsevier, vol. 126(C).
    20. Tom S Clark, 2016. "Scope and precedent: judicial rule-making under uncertainty," Journal of Theoretical Politics, , vol. 28(3), pages 353-384, July.
    21. Daniel L. Chen, 2015. "Can markets stimulate rights? On the alienability of legal claims," RAND Journal of Economics, RAND Corporation, vol. 46(1), pages 23-65, March.
    22. Jacobi, Tonja & Kontorovich, Eugene, 2015. "Why judges always vote," International Review of Law and Economics, Elsevier, vol. 43(C), pages 190-199.

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    More about this item

    Keywords

    Law and Economics; Incompleteness of Law; Judge-Made Law; Evolution;
    All these keywords.

    JEL classification:

    • K10 - Law and Economics - - Basic Areas of Law - - - General (Constitutional Law)
    • K40 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - General

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