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PREPONDERANCE OF THE EVIDENCE
Category: Economic Theory
Law and Economics I Monday 26th August 2002, 14:30 - 16:00, Room: 2.1
Session Chair(s):
Daniela Fabbri, Institut d''Analisi Economica (IAE-CSIC), SPAIN
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Abstract:
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We analyze the incentives properties of the standard of proof
for a finding of negligence when courts have imperfect information about
injurers' level of care. We show that the 'preponderance of
evidence' or 'more likely than not' standard used in common law
provides maximal incentives
to exercise due care. This extends to situations where unequally
informed parties must be led to disclose relevant evidence in an
adversarial context and where courts do not know how well informed
the parties are. Abstracting from the cost of producing evidence,
the optimal assignment of the burden of proof also follows from
the 'more likely than not' standard.
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Find this file in the \Papers\1673\ folder of this CD-ROM.
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