Rational Legal Decision-Making, Value Judgment and Efficient Precaution in Tort law
By reinterpreting Savage axioms as axioms of the social rationality over resource allocations, we derive a social welfare function encompassing individual social values and a social attitude towards distributional inequality. Wealth maximization becomes the purpose of law only if individuals have equal social values and the society does not care about distributional inequality. In tort law, when the injurer is less socially valued than the victim, the society imposes a stricter due precaution level, and punitive damages will be awarded. Tort law also implicitly transfers wealth from the less socially valued party to the more socially valued party.
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.:
- Blackorby, Charles & Donaldson, David & Weymark, John A., 1999. "Harsanyi's social aggregation theorem for state-contingent alternatives1," Journal of Mathematical Economics, Elsevier, vol. 32(3), pages 365-387, November.
- BLACKORBY, Charles & BOSSERT, Walter & DONALDSON, David, 2002. "In Defense of Welfarism," Cahiers de recherche 2002-02, Universite de Montreal, Departement de sciences economiques.
- Marcus Fleming, 1952. "A Cardinal Concept of Welfare," The Quarterly Journal of Economics, Oxford University Press, vol. 66(3), pages 366-384.
- Itzhak Gilboa & David Schmeidler, 1992.
"Additive Representation of Non-Additive Measures and the Choquet Integral,"
985, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
- Itzhak Gilboa & David Schmeidler, 1994. "Additive Representations of Non-Additive Measures and the Choquet Integral," Post-Print hal-00753149, HAL.
- John C. Harsanyi, 1955. "Cardinal Welfare, Individualistic Ethics, and Interpersonal Comparisons of Utility," Journal of Political Economy, University of Chicago Press, vol. 63, pages 309-309.
- Mongin Philippe, 1995. "Consistent Bayesian Aggregation," Journal of Economic Theory, Elsevier, vol. 66(2), pages 313-351, August.
- Mongin, P., "undated". "Consistent Bayesian aggregation," CORE Discussion Papers RP 1176, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- MONGIN, Philippe, 1993. "Consistent Bayesian Aggregation," CORE Discussion Papers 1993019, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Gul, Faruk, 1992. "Savagés theorem with a finite number of states," Journal of Economic Theory, Elsevier, vol. 57(1), pages 99-110.
- Gilboa, Itzhak, 1987. "Expected utility with purely subjective non-additive probabilities," Journal of Mathematical Economics, Elsevier, vol. 16(1), pages 65-88, February.
- Itzhak Gilboa, 1987. "Expected Utility with Purely Subjective Non-Additive Probabilities," Post-Print hal-00756291, HAL.
- P. Mongin, 2000. "Is there progress in normative economics ?," THEMA Working Papers 2000-37, THEMA (THéorie Economique, Modélisation et Applications), Université de Cergy-Pontoise.
- Louis Kaplow & Steven Shavell, 2001. "Any Non-welfarist Method of Policy Assessment Violates the Pareto Principle," Journal of Political Economy, University of Chicago Press, vol. 109(2), pages 281-286, April. Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:wpa:wuwple:0505004. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (EconWPA)
If references are entirely missing, you can add them using this form.