UCL FACULTY OF LAWS

LLM Programme

The taught modules offered on the LLM programme vary from year to year. Please check the full list of taught modules list for details of modules running in specific academic years. We make every effort to ensure that every module will be offered, but modules are subject to change and cancellation. You are therefore advised to check this site regularly for further updates throughout the year preceding entry to the LLM programme.


ECONOMIC ANALYSIS OF LAW (LAWSG111)
Credit value: 15 credits (6 ECTS)
Module Convenor:
Dr. Florian Wagner-von Papp
Intercollegiate teaching: No
Teaching Method: 10 x two-hour seminars
Who may enrol: LLM students
Prerequisites: None
Barred module combinations: None
Core module for specialism: Law and Economics, Jurisprudence and Legal Theory
Assessment
Practice Assessment: voluntary exam
Assessment method for LLM students: 2-hour unseen written examination
Module Overview

Module summary

This module is an introduction to the principles and methods of the Economic Analysis of Law (also called Law & Economics). This approach has had a tremendous impact not only on legal academic writing, but also on legal practice. Commercial lawyers in today's world need at least a basic knowledge of the tools used in the economic analysis of law.

Without assuming any prior knowledge in economics, we will look at diverse tools of economic analysis, such as microeconomic analysis, basic game theory, and empirical economics. We will then apply these tools to various legal problems ranging from common law subjects, such as contract and tort, to certain regulatory issues, such as antitrust, corporate governance, and discrimination. We will also discuss the rationality assumptions underlying much of the literature, as well as the relationship between 'efficiency' and 'justice', and between 'efficiency' and 'distribution'.

Module syllabus

1. Introduction & Basic Concepts
2. Coase Theorem, Assigning Property Rights, and Property v. Liability Rules
3. Tort Law & Economics
4. Contract Law & Economics
5. Corporate Law & Economics
6. Competition Law & Welfare Theory: Perfect Competition v. Monopoly
7. Competition Law & Game Theory: Cartels and Oligopoly
8. A Basic Introduction to Statistics & Empirical Legal Studies
9. Efficiency, Wealth Distribution and Efficiency
10. Behavioural Law & Economics + Revision

Recommended materials

There is no ‘set book’ for this module; many resources can be found online (for examples, see below in the preliminary reading list). However, for many seminars readings from the following books will be assigned:
Robert Cooter & Thomas Ulen, Law and Economics (5th edn., Pearson 2008)
Jackson, Kaplow, Shavell, Viscusi & Cope, Analytical Methods for Lawyers (Foundation Press 2003)
Richard A. Posner, Economic Analysis of Law 7th edn (Wolters Kluwer 2007)

Preliminary reading

Cento Veljanovski The Economics of Law 2nd edn (iel 2006), available online http://ssrn.com/abstract=935952 (esp. pp. 44-80)
Posner, see above, Ch. 1 & 2

Other information: N/A
Prizes for this module: There are currently no prizes available for this module.

APPLICATION NOTICES

The application process for the 2014-15 academic session, for entry in September 2014, is now open.

Please refer to the How to apply section for information on the application process.