Category: Law
How to rile Alex
Get him in front of some other bloggers and say:
It’s liability per se that isn’t justified by libertarian standards. Under Lockean property rights theory, you own physical things, not the values of those things. It is for this reason that if you set up shop next to a competitor, you are not infringing his property rights, even if his business ends up being worth less. So let’s say I steal your painting. Yes, you do deserve your painting back. It is yours. But say I steal your painting and lose it or wreck it. That should be the end of the story. You never owned the "value of that painting." You simply owned the physical painting. You are not due compensation. If you take my money as compensation for your loss, that is simply another theft. All this talk about the "doctrine of rights forfeiture" is handwaving. The forfeiture doctrine is a convenient utilitarian fiction (which I will partially endorse), not libertarian theory. Rights aggressors do not, in fact, lose their own rights in turn. Why should they? Evreyone in prison is there unjustly and yes that includes murderers. I will, of course, accept many of these injustices for utilitarian reasons; I am a good pluralist.
The culture that is French, a continuing series
One of France’s most popular rappers will appear in court today charged
with offending public decency with a song in which he referred to
France as a "slut" and vowed to "piss" on Napoleon and Charles de
Gaulle. Monsieur R, whose real name is Richard Makela, could face three
years in prison or a €75,000 (£51,000) fine after an MP from the ruling
UMP party launched legal action against him over his album Politikment
Incorrekt.
Here is the full story.
Med Mal Talk
On Thursday morning I will be speaking in New York at the Harvard Club on my new Manhattan Institute study (with Amanda Agan), Medical Malpractice Awards, Insurance, and Negligence: Which are Related? No link yet, the study will be released Thursday.
There is a reception, 8-8:30 am, followed by the seminar and questions, 8:30-9:30 am. If you would like to attend RSPV to (212) 599-7000 and be sure and give me the secret MR signal at the club so I know who you are.
China story of the day
Farmer Yan Shihai was happily married for more than 30 years. Then late last year, seemingly out of the blue, the 57-year-old grandfather and his loving wife got a divorce.
Within months, all three of his adult children and their spouses also split up. So did almost every other married person in Yan’s village of 4,000 – an astounding 98% of Renhe’s married couples officially parted, according to the local government.
But instead of tension or tears, the couples waiting in line at the local registry to end their marriages were practically jolly. They believed they were taking advantage of a legal loophole that allowed them to get an extra apartment.
As they understood the compensation deal, each married couple would receive a small two-bedroom apartment in return for their land and farmhouse. Those divorced would get a one-bedroom apartment each. The villagers figured that would be a better deal, that they could live in one apartment and make a little extra income from selling or renting out the extra one.
The government, however, changed the rules and denied the new benefit. The final result?
…most of the former marriages are in tatters. Considering the prospect of a future without financial security, remarrying now simply seems too much of a hassle. Promises are souring. Stunned villagers are watching their life partners drift off. Some have found new love. Others are deciding to try out freedom from a marriage they never thought they wanted to leave.
Here is the full story, and thanks to Tim Sullivan for the pointer.
Is drug tourism good?
Mexico may be decriminalizing the possession of small amounts of the following drugs:
Cocaine. Heroin. LSD. Marijuana. PCP. Opium. Synthetic opiates. Mescaline. Peyote. Psilocybin mushrooms. Amphetamines. Methamphetamines.
The list is here. If this goes through (even if Fox doesn’t apply it to U.S. citizens, enforcement may dry up) we would be outsourcing some of our drug dealing to the Mexicans. Why risk legal trouble in the States when you can go crazy over spring break in Cancun? I am not sure the nominal price will be lower, given transport costs. But if you are afraid of the law, you will have new and better drug options.
If you think the problem is isolated doses of drug-taking, and that the law is what deters people at home, our drug problem will get worse. If you think the problem is the secondary effects of the drug trade, such as gang involvement and crime, things will get better.
If this new option gets you to start trying drugs, you might opt for recreational, non-addictive drugs. Heroin is out, if only because it is hard to get back to Mexico for each fix. That appears to fit the better-case scenario.
If you can go crazy, absolutely crazy, in Cancun or Tijuana, is that a substitute for or complement to domestic drug-taking?
Is substitution more likely if people take drugs for "signalling" or for "experimentation" reasons?
Which is a bigger problem: how stoned you are, or how many days you are stoned for?
Do U.S. prostitutes feel that Thailand stimulates demand for their product? I suspect not.
Let us say such a change in Mexico would have beneficial effects on the U.S. drug problem. Might we not also consider "drug law holidays"; periodically you could take all the drugs you want without legal penalty, but this lasts only for five days during the year?
Every year Tower Records used to have a big post-Christmas sale. During the year I bought many fewer CDs.
If periodic sales would boost rather than lower long-term demand, won’t current drug dealers already be using such sales? In which case some extra sales are likely to diminish demand…?
Lott v. Levitt
The brouhaha is reviewed by David Glenn in the Chronicle of Higher Education.
Contingent Fees for Julia Roberts (and Erin Brockovich)
Here is more from my debate with Jim Copland on contingent fees.
Movie stars also work on contingent fee (they get paid a share of
the gross). Using your argument this causes them to go for films with a
low probability of a high payoff – the potential blockbuster that alas
is usually a dud. If we regulated fees so that movie stars could be
paid only a straight salary that would certainly change how movies are
financed. The studios (big law firms), for example, would become more
important. A few actors (lawyers) would make less money but the average
actor would make more (if you don’t give people a lottery ticket you
have to increase their average salary). But would changing how actors
are paid really improve the quality of the movies? I doubt it.If you want better movies there’s only one solid method, attack the
source of the problem, and raise the taste level of the public. If the
public demands Armageddon
that is what they will get. The same is true of improving the tort
system – fiddling around with fees won’t do it – we need to address the
substantive issues that give judges and juries a taste for bad law.
A Debate on Contingent Fees
Jim Copland and I debate contingent fees at PointofLaw.com. I was pleased with this statement of my position:
If a lawyer and her client want to contract in Lira what business is
it of the state to interfere? If the lawyer and client agree on an
incentive plan, why should that be regulated? Do we want to regulate
contingent fees in other areas? A money-back guarantee, for example, is
a contingent fee – you pay only if the product is a winner. A tip is a
contingent fee – you pay only if the service was good.True, not all contracts should be respected – we don’t enforce
contracts against the public interest – nevertheless, my spider-sense
starts to tingle whenever reformers of any stripe try to abrogate
private contracting.
жеÑткий is Russian for “intense”
Millions of passengers traveling through Russia soon will have to take a lie detector test as part of new airport security measures that could eventually be applied throughout the country.
The technology, to be introduced at Moscow’s Domodedovo airport as early as July, is intended to identify terrorists and drugs smugglers. But many passengers will be chilled by the set of four questions they will have to answer into a machine, including, "Have you ever lied to the authorities?"
The machine asks four questions: The first is for full identity; the second, unnerving in its Soviet-style abruptness, demands: "Have you ever lied to the authorities?" It then asks whether either weapons or narcotics are being carried.
To cut delays, passengers will take the tests after taking off their shoes and putting baggage through the X-ray machines. He doesn’t get his shoes back until he satisfactorily answers the questions. Each test will take up to a minute. "If a person fails to pass the test, he is accompanied by a special guard to a cubicle where he is asked questions in a more intense atmosphere," says Vladimir Kornilov, IT director for the airport.
The fully automated instrument to be used, known as the "Truth Verifier," is hardly the polygraph familiar from old spy thrillers. Passengers will simply speak into a handset. Thanks to "layered-voice-analysis technology," the system, developed by an Israeli company, can even establish whether answers come from the memory or the imagination.
Here is the full story.
The economics of polygamy, continued
Perhaps this topic needs a little public choice analysis:
Many Sub-Saharan African countries are extremely poor. It has been argued that the marriage system (in particular polygyny) is one contributing factor to the lack of development in this region. Polygyny leads to low incentives to save, depressing the capital stock and output. Enforcing monogamy might seem like an obvious solution. However, such a law will have winners and losers. In this paper, we investigate the transition from a polygynous to a monogamous steady state. We find that the initial old men will be big losers. The reason is that they had married many wives in anticipation of the brideprice that future daughters will fetch. However, due to the marriage reform, the value of daughters depreciates rapidly, as the brideprice changes from positive to negative. This increases savings and thereby the aggregate capital stock. The interest rate falls and the initial young suffer a loss in capital income. Thus, all men alive during the reform period experience a loss in utility. Young women and all future generations will benefit. However, the future gains are not enough to compensate the losers. This may explain why many African countries experience strong resistance to changing their marriage laws.
Here is the paper, and thanks to Alina Stefanescu for the pointer. Here is Alex’s previous post on polygamy, which leads you back to mine as well. Here are more links.
Judge and Jury: American Tort Law on Trial
My new book, Judge and Jury: American Tort Law on Trial is now out. Click on the ad at right for more information. Written with Eric Helland, Judge and Jury brings together in a popular format much of my research from the past few years on the effect on tort awards of elected judges, jury composition and contingency fees as well as other topics.
Here are some early comments on the book:
"In their pioneering book, Judge and Jury, Helland and Tabarrok are
relentless in their pursuit of hard data to explain the behavior of the
American jury. On a topic on which it is easy to become hyperbolic,
their dispassionate analysis of the effects of race and poverty on jury
behavior is a model for all intelligent discussion of legal reform. The
authors are to be commended for the way in which they confirm some
deep-seated perceptions of runaway juries while debunking other claims
that do not survive their rigorous empirical scrutiny."
–Richard A. Epstein,
James Parker Hall Distinguished Service Professor of Law, University of Chicago Law School
"All too often, the proponents of tort reform have relied upon
anecdote rather than analysis or empirical study to support their
claims. In contrast, Judge and Jury offers solid economic analysis and
empirical study of some very important issues.] Helland and Tabarrok
show that the resolution of a tort claim can importantly depend upon
where the claim is filed, due to differences in jury composition and
whether judges are elected or appointed. They also make a convincing
case that the root of all evils does not lie in contingency fees for
plaintiffs’ lawyers, as many reformers insist. The book should be of
great interest to anyone interest in the U.S. tort system."
–Mark Geistfeld, Crystal Eastman Professor of Law,
New York University School of Law
"Clear, forcefully argued and highly accessible, Judge and Jury makes the perfect introduction to the work of two of today’s most provocative and talked-about empirical legal scholars."
–Walter K. Olson, Senior Fellow, Manhattan Institute
South Korea fact of the day
Players in South Korea have been prosecuted for stealing virtual
property. More than half of the 40,000 computer crimes investigated by
South Korea’s National Police Agency in 2003 involved online games.
Can you defame someone’s avatar? Does antitrust law apply? Here is the link.
Libertarian red meat
Last month, police in Fairfax, Va., conducted a SWAT raid on Sal Culosi Jr., an optometrist suspected of running a sports gambling pool with some friends. As the SWAT team surrounded him, one officer’s gun discharged, struck Culosi in the chest and killed him. In the fiscal year before the raid that killed Culosi, Virginia spent about $20 million marketing and promoting its state lottery.
Here is the Cato link, and thanks to Chris Masse for the pointer.
Le problème du pain
Bread is one of the great pleasures of Paris. The croissants melt in your mouth, the tarts have a crust that is to die for and when you break a baguette the bloom crackles perfectly and yet the inside is moist and chewy. Moreover, I’m not talking about the best bread in Paris (which is likely the best in the world), I’m talking about the bread that you can find in any of thousands of neighborhood boulangeries and patisseries. Why is the bread in Paris better than any that I can find in Washington?
Two answers come quickly to mind. First, competition is intense. Every neighborhood has at least half a dozen shops to buy bread. Second, the French are used to high quality and will reject anything of low quality so tourists benefit from the informed local demanders.
I find both of these explanations wanting. We do have artisanal bread in the United States and take a look at your local supermarket, competition on bread quality is intense. At my local supermarket, there are dozens of different breads all of which compete with an on-premise bakery.
Furthermore, isn’t bread making about knowledge? – i.e. the paradigmatic example of a public good and one that is supposed to diffuse easily around the globe. How difficult can it be to follow the recipe? (I know, that is my point.)
Comments are open if you have some ideas about why bread isn’t nearly as good in the United States as in Paris. But you might also have guessed that I have a larger point in mind.
Le problème du pain is this – if it’s difficult to spread the art of bread making from Paris to Washington then how can we ever hope to spread democracy from Washington to Baghdad?
Male reproductive rights?
With the suit, NCM hopes to establish that a man who unintentionally
fathers a child has the right to decline financial responsibility for
that child, a right based on the same principles laid out in the 1973
case that made abortion legal…
The NCM has been looking for an appropriate plaintiff for this case
for more than 10 years. It finally found one in Matt Dubay…who claims he and
his ex-girlfriend did not use birth control because of her assurances
that she could not get pregnant due to a medical condition. But the
couple, who Dubay told Salon were together for about three months, did
conceive, and Dubay’s ex elected to keep the child, for whom he now
pays $500 a month in child support, despite his contention that he was
always clear about not wanting the child.
Save your moralizing, let’s do tax incidence theory. If you were a woman and wanted an unwilling father, or at least wasn’t trying too hard to avoid one, what kind of guy would you pick? Smart, not a criminal, tall, high-earning, and possibly nerdy. You also would pick a flexible, mild-mannered guy, on the grounds that he might grow to like the idea of parenthood (there is some chance you will decide to keep him in the picture).
If financial responsibility could be repudiated, these guys would find it harder to get quality sex. This is a simple economic principal: change the terms at one end of a deal, and they shift back at the other end. The ex-cons, who will take off in any case and are known to have this quality, would not be penalized. They might get even more sex.
Now which of the nerdy guys will suffer the most from holding greater "reproductive rights"? The risk-loving, sex-crazed nerds who like to sleep with strange women and are willing to chance paternity (just rolls off the tongue, doesn’t it?). And the nerds who know they are sterile or vasectomized. Did I mention the nerd who doesn’t much mind a bit of financial (and other kinds of) servitude? No longer will these guys be viewed as potential appealing "victims."
Who will mind this change the least? The local dullard — you went to high school with him but hoped you never had to marry him — who wants to settle down with a wife and family, but otherwise faced competition from the smarter nerd tricked or lured into siring a kid.
The bottom line: This change would be a tax on male nerd sex. It would boost male nerd autonomy, but which of these do nerds need more?
No, one data point does not test a theory, especially when that data point is selected for purposes of national image. Nonetheless here is a photo of Matt Dubay, computer technician. Here is a video of Matt. Prior to the paternity suit, Matt had owned his dream car, a 1998 Trans Am.