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The effect of learning varies according to locality: Micro data analysis of the lawyer market in Japan

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  • Yamamura, Eiji

Abstract

Using individual level data, this paper examines how and to what extent the behavior and perception of those bringing lawsuits differ between large district courts (competitive lawyer market) and medium or small district ones (less competitive lawyer markets). The major findings are: (1) in medium and small, but not large districts, trial experience discourages people from employing a lawyer. (2) A natural person is less likely to employ a lawyer than a legal entity in medium and small districts, but not in large ones. (3) The self-rated cost of searching for a lawyer is lower in large districts than small ones. It follows from these results that the lower competitive pressure in the lawyer markets in medium and small districts results in higher costs to employ a lawyer than is found in large districts.

Suggested Citation

  • Yamamura, Eiji, 2010. "The effect of learning varies according to locality: Micro data analysis of the lawyer market in Japan," Japan and the World Economy, Elsevier, vol. 22(3), pages 193-197, August.
  • Handle: RePEc:eee:japwor:v:22:y:2010:i:3:p:193-197
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    References listed on IDEAS

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    1. Tom Ginsburg & Glenn Hoetker, 2006. "The Unreluctant Litigant? An Empirical Analysis of Japan’s Turn to Litigation," The Journal of Legal Studies, University of Chicago Press, vol. 35(1), pages 31-59, January.
    2. Nakazato, Minoru & Ramseyer, J. Mark & Rasmusen, Eric, 2006. "The Industrial Organization of the Japanese Bar: Levels and Determinants of Attorney Income," MPRA Paper 1444, University Library of Munich, Germany.
    3. Ramseyer, J Mark & Nakazato, Minoru, 1989. "The Rational Litigant: Settlement Amounts and Verdict Rates in Japan," The Journal of Legal Studies, University of Chicago Press, vol. 18(2), pages 263-290, June.
    4. Avner Greif, 2002. "Institutions and Impersonal Exchange: From Communal to Individual Responsibility," Journal of Institutional and Theoretical Economics (JITE), Mohr Siebeck, Tübingen, vol. 158(1), pages 168-168, March.
    5. Yamamura, Eiji, 2009. "Frequency of contact with foreigners in a homogenous society: perceived consequences of foreigner increases in Japan," MPRA Paper 14646, University Library of Munich, Germany.
    6. Yamamura Eiji, 2008. "The Market for Lawyers and Social Capital: Are Informal Rules a Substitute for Formal Ones?," Review of Law & Economics, De Gruyter, vol. 4(1), pages 499-517, December.
    7. Milhaupt, Curtis J. & West, Mark D., 2004. "Economic Organizations and Corporate Governance in Japan: The Impact of Formal and Informal Rules," OUP Catalogue, Oxford University Press, number 9780199272112.
    8. Tomio Kinoshita, 2002. "A Cost-Benefit Analysis Of Enlarging The Japanese Judicial System," Contemporary Economic Policy, Western Economic Association International, vol. 20(2), pages 179-192, April.
    9. Greif, Avner, 1994. "Cultural Beliefs and the Organization of Society: A Historical and Theoretical Reflection on Collectivist and Individualist Societies," Journal of Political Economy, University of Chicago Press, vol. 102(5), pages 912-950, October.
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    Cited by:

    1. Mihaela Grecu, 2015. "Statistical-Based Insights in Spence’s Theory of Honest Signaling," Romanian Statistical Review, Romanian Statistical Review, vol. 63(3), pages 77-89, September.
    2. Eiji Yamamura, 2011. "Brand and Performance in a New Environment: Analysis of the Law School Market in Japan," Atlantic Economic Journal, Springer;International Atlantic Economic Society, vol. 39(2), pages 155-164, June.

    More about this item

    Keywords

    Lawyer market Learning;

    JEL classification:

    • K49 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Other
    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets
    • L88 - Industrial Organization - - Industry Studies: Services - - - Government Policy

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