Economic Analysis of Product Liability

Faure, M.G., “Economic Analysis of Product Liability”, in Machnikowski, P. (ed.), European Product Liability. An Analysis of the State of the Art in the Era of New Technologies, Antwerp, Intersentia, 2016, 619-665; ISBN 9781780685243

48 Pages Posted: 27 May 2019

See all articles by Michael G. Faure

Michael G. Faure

University of Maastricht - Faculty of Law, Metro; Erasmus University Rotterdam (EUR) - Erasmus School of Law

Date Written: January 1, 2016

Abstract

This chapter in a book on European product liability provides a summary of the economic approach to product liability. The economic theory of product liability based on the Coase Theorem is explained. Next, product liability when damage is suffered by third parties is analyzed. Specific attention is paid to the EU Product Liability Directive and to more recent literature.

Keywords: product liability, Coase Theorem, third party liability, insurance, strict liability, multiparty causation, signaling, development risk

JEL Classification: K13

Suggested Citation

Faure, Michael G., Economic Analysis of Product Liability (January 1, 2016). Faure, M.G., “Economic Analysis of Product Liability”, in Machnikowski, P. (ed.), European Product Liability. An Analysis of the State of the Art in the Era of New Technologies, Antwerp, Intersentia, 2016, 619-665; ISBN 9781780685243. Available at SSRN: https://ssrn.com/abstract=3379657

Michael G. Faure (Contact Author)

University of Maastricht - Faculty of Law, Metro ( email )

PO Box 616
Maastricht, 6200 MD
Netherlands
+31 - 43 - 388 30 60 (Phone)
+31 - 43 - 325 90 91 (Fax)

HOME PAGE: http://www.michaelfaure.be

Erasmus University Rotterdam (EUR) - Erasmus School of Law ( email )

3000 DR Rotterdam
Netherlands

Register to save articles to
your library

Register

Paper statistics

Downloads
28
Abstract Views
167
PlumX Metrics