Tort Damages

Abstract:     
In this Chapter, I provide an overview of Law and Economics literature regarding tort damages. Where necessary, attention is also spent to rules of tort liability. Both types of rules provide behavioral incentives to both injurers and victims, with respect to their level of care and activity. Moreover, they determine who is the residual risk bearer. Many topics determine who ultimately bears which risks, among which the applicable liability rule (strict liability or negligence), the question which losses are included in the damages and which are excluded, the issue whether punitive damages are possible, how future losses, damages for nonpecuniary losses and fatal accidents are calculated, and how the topic of multiple tortfeasors is dealt with. Finally, empirical research regarding tort damages is briefly touched upon. The Chapter is followed by an extensive bibliography.

Number of Pages in PDF File: 48

Keywords: Computation of Damages, Future Losses, Judgment Proof, Limitation of Damages, Loss of a Chance, Mitigation of Losses, Non Pecuniary Losses, Pain and Suffering, Punitive Damages, Pure Economic Loss, Tort Damages, Uncompensated Losses, Value of Human Life, Quality Adjusted Life Years

JEL Classification: K13

Accepted Paper Series