Marciano and Romaniuc, ‘Accident Costs, Resource Allocation and Individual Rationality: Blum, Kalven, and Calabres’

Abstract:
In this paper, we analyze the controversy that took place between Blum and Kalven, and Calabresi around rationality or, more broadly, how individuals behave. We analyze how their respective conception regarding this specific aspect was included in their analyses about what economics could say about fault, liability and compensation of victims in case of accident and their respective views on the law. First, we show that the debate was a sequel of the discussions that took place in tort law from the 1930s to the 1950s. Second, we claim that their treatment of rationality strongly relates to their views about what the law should be and about what are the objectives and goals of the law.

Alain Marciano and Rustam Romaniuc, Accident Costs, Resource Allocation and Individual Rationality: Blum, Kalven, and Calabres. European Journal of the History of Economic Thought, December 2015.

First posted 2015-08-08 07:14:26

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