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The collection of all scholarly commentary on law, economics, and more

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What's Wrong With the Endowment Effect?

Gordon Smith asks the question in response to a 16 part post (with slides and pictures!) from John Carney offering up the explanation that the behavioral economists have overclaimed and that “the Endowment Effect may really be a response to the counterparty risk faced by early humans.”  Larry Ribstein chimes in with support for Carney ... What's Wrong With the Endowment Effect?

The Economics of Judicial Salaries: Justice Roberts v. Judge Judy

A commentator observes that the salary disparity between Chief Justice Roberts (roughly $220,000) and Judge Judy (roughly $25 million) is the “result of markets” and asks the following question: “is there any reason to assume that simply because the market has delivered that outcome, that Judge Judy deserves to make 100 times more than Chief ... The Economics of Judicial Salaries: Justice Roberts v. Judge Judy

Quick Reaction to the Leiter Poll on Best Faculties in Law and Economics

Brian Leiter conducted a poll where voters (anybody, apparently could vote with a poll restricted to specialists to come later) could rank the top law and economics faculties from a list of the individual scholars on those faculties.  Here are the results followed by a few first impressions: 1.  Harvard University 2.  University of Chicago ... Quick Reaction to the Leiter Poll on Best Faculties in Law and Economics

Georgetown L&E Workshop

Great workshop and excellent written and live questions on the “Is Antitrust Too Complicated for Generalist Judges” paper (with Michael Baye) from the students and attending faculty.  Thanks to hosts Kathy Zeiler and Josh Teitelbaum.  I’ve posted my slides here for interested readers.

A bright spot in the bleak financial industry regulatory firmament

Between the various power grabs and dubious regulatory proposals (each more dubious than the last!) from the likes of Geithner, Bernanke, Frank (.pdf), Dodd, etc., etc. you’d be excused for thinking the financial news from Washington (remember when financial news used to come from New York?) was all bad and growing only worse. But there ... A bright spot in the bleak financial industry regulatory firmament

Tragedies of the Gridlock Economy at George Mason University Information Economy Project

My colleague Tom Hazlett and his Information Economy Project at GMU is putting on a wonderful conference this week.  The public event is a debate between Michael Heller and Richard Epstein on the Gridlock Economy.  Following that event is an academic conference including: Harold Demsetz, Michael Meurer, F. Scott Kieff, Adam Mossoff, Kevin Werbach, Thomas ... Tragedies of the Gridlock Economy at George Mason University Information Economy Project

Merger Guidelines Reading

Volume 16, Issue 4 of the George Mason Law Review (which I received in my mailbox today) has a well timed issue from its antitrust symposium featuring several articles on revisions to the Merger Guidelines.  Especially recommended is DOJ economist Greg Werden’s article here, which usefully sets the stage for some of the important debates.  ... Merger Guidelines Reading

Antitrust to Protect "Small Dealers and Worthy Men"?

As I skimmed through the White House White Paper on innovation (HT: Patently-O), I noticed that a repeated theme in the document is that US innovation policy must “Promote Competitive Markets that Spur Productive Entrepreneurship” (e.g., p. 9).   There is no real substantive discussion of antitrust issues in the White Paper, except for the following ... Antitrust to Protect "Small Dealers and Worthy Men"?

Coming Soon: New Merger Guidelines

The possibility of new Merger Guidelines has been much discussed in the antitrust community, particularly in light of appointment of the two new chief agency economists, Carl Shapiro and Joe Farrell, who have done substantial work on the economics of horizontal mergers and market definition.  Today, the FTC and DOJ announced a series of workshops ... Coming Soon: New Merger Guidelines

Wright & Zywicki on the Consumer Financial Protection Agency Act of 2009

I noted last week that my colleague (and Volokh Conspirator) Todd Zywicki and I had written an essay, published in a Fin Reg 21 Symposium on the Consumer Financial Protection Agency Act of 2009, on “Three Problematic Truths About the Consumer Financial Protection Agency Act of 2009.”  The essay is now available on SSRN for ... Wright & Zywicki on the Consumer Financial Protection Agency Act of 2009

Searle Antitrust Economics and Competition Policy Conference

If you’re in Chicago next week, and even if you’re not, go check out the Second Annual Searle Center Antitrust Economics and Competition Policy conference at Northwestern University School of Law.  The conference will take place September 25th and 26th and has a great lineup including a pretty good mix of theory and empirics.  My ... Searle Antitrust Economics and Competition Policy Conference

How Competitive Is the Health Insurance Market, Really?

Not very, according to the President in his recent health care speech, making the case that lack of competition and for-profit monopolists are what ails the health care market: “Consumers do better when there is choice and competition. Unfortunately, in 34 states, 75% of the insurance market is controlled by five or fewer companies. In ... How Competitive Is the Health Insurance Market, Really?