The course consists of an introduction to basic concepts and techniques in the growing body of literature on law and economics, and a study of the application of economic analysis in a number of commercial and corporate law related areas. The prior study of economics is not a requirement of the course. Seminar topics may be chosen either from the general theoretical material considered at the start of the course, or from one of the more specific areas. The focus of the course will be more oriented towards corporate and commercial topics than in previous years.

Note that Note that entry to the seminar will be capped at 16 students.

The Seminar will meet for two hours each week during the Michaelmas Term. The first five weeks will be devoted to the economic analysis of the common law, and focus on the approaches of Coase, Calabresi and Posner, and their critics. There will be a basic introduction to aspects of microeconomic theory, including simple game theory and transaction cost economics. There will also be examination of wider theoretical issues concerning the relationship between welfare economics and questions of justice, efficiency, and public policy.

Week 1: Introduction to the economic analysis of law and to research methods
Week 2: The ‘Coase Theorem’ and property law
Week 3: Tort law
Week 4: Contract law: mandatory rules
Week 5: Contract law: default rules

The last three weeks are devoted to the consideration of specific topics related to corporate and commercial law. These are provisionally scheduled as follows:

Week 6: Corporate law
Week 7: Law and corporate finance across countries
Week 8: Regulatory competition in corporate law: convergence or diversity

The seminar will not meet for the first four weeks of the Lent Term. The last four weeks of the Lent Term will be devoted to student presentations: each student will have approximately 40 minutes for the presentation and discussion of their seminar paper.