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The Role of Politics and Economics in Explaining Variation in Litigation Rates in the U.S. States

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  • Tonja Jacobi

Abstract

This article develops and empirically tests two theories of the causes of variation in levels of litigation in the United States: that litigation rates are affected by political structure and by economic strength. Fragmented political power results in less detailed legislation and a more powerful judiciary, which increases the demand for judicial action. Economic strength is positively associated with high rates of litigation, rather than being stymied by it. This article tests these claims using state-level civil filings data over 25 years and finds both political and economic factors to be highly determinative of litigation rates. (c) 2009 by The University of Chicago. All rights reserved.

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  • Tonja Jacobi, 2009. "The Role of Politics and Economics in Explaining Variation in Litigation Rates in the U.S. States," The Journal of Legal Studies, University of Chicago Press, vol. 38(1), pages 205-233, January.
    • Handle: RePEc:ucp:jlstud:v:38:y:2009:i:1:p:205-233
    DOI: 10.1086/596196
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    References listed on IDEAS

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    1. Alesina, Alberto & Sachs, Jeffrey, 1988. "Political Parties and the Business Cycle in the United States, 1948-1984," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 20(1), pages 63-82, February.
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    3. Jennifer F. Reinganum & Louise L. Wilde, 1986. "Settlement, Litigation, and the Allocation of Litigation Costs," RAND Journal of Economics, The RAND Corporation, vol. 17(4), pages 557-566, Winter.
    4. McCubbins, Mathew D & Noll, Roger G & Weingast, Barry R, 1987. "Administrative Procedures as Instruments of Political Control," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 3(2), pages 243-277, Fall.
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    6. Diermeier, Daniel & Feddersen, Timothy J., 1998. "Cohesion in Legislatures and the Vote of Confidence Procedure," American Political Science Review, Cambridge University Press, vol. 92(3), pages 611-621, September.
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    8. Mariano Tommasi & Matias Iaryczower & Pablo T. Spiller, 2002. "Judicial Decision Making in Unstable Environments, Argentina 1935-1998," Working Papers 30, Universidad de San Andres, Departamento de Economia, revised Oct 2002.
    9. Marilyn J. Simon, 1981. "Imperfect Information, Costly Litigation, and Product Quality," Bell Journal of Economics, The RAND Corporation, vol. 12(1), pages 171-184, Spring.
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    Cited by:

    1. Paul Heaton & Eric Helland, 2011. "Judicial Expenditures and Litigation Access: Evidence from Auto Injuries," The Journal of Legal Studies, University of Chicago Press, vol. 40(2), pages 295-332.
    2. Lampach, Nicolas & Wijtvliet, Wessel & Dyevre, Arthur, 2020. "Merchant hubs and spatial disparities in the private enforcement of international trade regimes," International Review of Law and Economics, Elsevier, vol. 64(C).
    3. Bielen, Samantha & Peeters, Ludo & Marneffe, Wim & Vereeck, Lode, 2018. "Backlogs and litigation rates: Testing congestion equilibrium across European judiciaries," International Review of Law and Economics, Elsevier, vol. 53(C), pages 9-22.
    4. Nicolas Lampach & Arthur Dyevre, 2020. "Choosing for Europe: judicial incentives and legal integration in the European Union," European Journal of Law and Economics, Springer, vol. 50(1), pages 65-86, August.
    5. Martin Mendelski & Alexander Libman, 2014. "Demand for litigation in the absence of traditions of rule of law: an example of Ottoman and Habsburg legacies in Romania," Constitutional Political Economy, Springer, vol. 25(2), pages 177-206, June.

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