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Un effet pervers de la responsabilité limitée

  • Sandrine Ollier
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    Although legal restrictions limiting the workers’ liability are made to increase their welfare, we show that they may lead to a perverse effect when more productive workers cross subsidize less productive workers. A generalized agency model is analyzed and used to show that exonerating a wealthy agent from liability for damages caused during the execution of the contract decreases the more productive workers’ expected utility in the pooling equilibrium of the combined model.

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    Article provided by De Boeck Université in its journal Recherches économiques de Louvain.

    Volume (Year): 72 (2006)
    Issue (Month): 3 ()
    Pages: 265-286

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    Handle: RePEc:cai:reldbu:rel_723_0265
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