Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
5067663 | European Economic Review | 2006 | 14 Pages |
Abstract
This paper investigates the incentive properties of the standard of proof for a finding of negligence when evidence about injurers' behavior is imperfect. We show that a “more-likely-than-not” decision rule provides maximal incentives for potential tort-feasors to exert care. An injurer is then held liable whenever inadequate care appears more likely than due care, and not liable otherwise. Our analysis provides a deterrence rationale for the exclusionary rules of evidence found in common law and the preponderance of evidence standard of proof.
Related Topics
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Economics and Econometrics
Authors
Dominique Demougin, Claude Fluet,