Università della Svizzera italiana

Positional goods and legal orderings

Pagano, Ugo ; Vatiero, Massimiliano

In: Encyclopedia of Law and Economics

People consume because others consume, maintained Veblen in 1899. More recently, theoretical, empirical and experimental articles have argued that people constantly compare themselves to their environments and care greatly about their relative positions. Given that competition for positions may produce social costs, we adopt a Law and Economics approach (i) to suggest legal remedies for...

Università della Svizzera italiana

Costly institutions as substitutes : novelty and limits of the Coasian approach

Pagano, Ugo ; Vatiero, Massimiliano

One of the main contributions of Ronald H. Coase was to demonstrate how mainstream economics was based on a contradictory amalgam of costly physical inputs and free institutional resources, and to gave origin the economics of institutions: each institution is a mode of allocation and organization of economic resources that is to be investigated. In particular, none of the institutions...