What’s holding Behavioral Economics back? And what can be done about it? The fields of Behavioral Economics and Behavioral Law and Economics have each supplied important and useful insights. But the state of knowledge has changed rapidly across the decades since Tversky and Kahneman first highlighted how people sometimes systematically depart from predictions of the standard expected utility model in neoclassical economics. Those changes now render it uncomfortably obvious that Behavioral Economics, and those who rely on it, are falling behind with respect to new developments in other disciplines that also bear directly on the very same mysteries of human decision-making. This chapter identifies four problems for Behavioral Economics. It explores their causes. It then suggests and illustrates ways around them, including a path for integrating multi-disciplinary insights. The chapter provides concrete recommendations that can help to move these important schools of thought forward, in light of developments in other fields.
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Setting the scene, the idea of the ‘creative economy’ is critically located in both the policy and academic literatures. Next, the European Union’s (EU) shifting role in cultural policy is discussed, with particular reference to the Creative Europe programme. Then, the illuminating history of regulatory policy on ‘borderless television’ is considered along with the balance of international audiovisual trade with the US. This is the context for an analysis of the planned Digital Single Market and its implications. The conclusion notes the continuing ambiguity of relations between culture and economy in the EU as these now play out in the digital era.
Perspectives for Sustainable Corporate Governance
Valuation gaps and exchange asymmetries are among the most widely studied phenomena in the field of behavioral economics. This chapter presents the current state of the social science literature related to observed reluctance to trade. Numerous theories have been proposed and only a few might be safe to rule out based on the evidence to date. A number of theories have been developed and tested by both economists and psychologists including endowment theory, substitution theory, expectation theory, preference uncertainty, mere-ownership theory, enhancement theory, subject misconceptions, and regret avoidance. The chapter walks through each proposed theory, cataloging the evidence for and against. While some theories have garnered more support from the data than others, no single theory yet deserves the title of leading theory. As this chapter makes clear, much more work is required to develop a theory or set of theories worthy of designation as the leading theory.
Efficiency, Confidence and Perceptions of Justice
Shahla F. Ali
Chapter 2 examines at a broad level, rationales for mandatory or voluntary mediation programme design. Varying national experiences in relation to the global development of civil justice reforms in Asia, Europe and North America seem to point mostly to the prominent influence of unique domestic factors in a country’s eventual adoption of a particular mediation model, whether voluntary or mandatory.
Is copyright relevant to the everyday lives of visual artists? Is it valuable to them? With an emphasis on artists’ relationship with copyright this chapter focuses on visual arts and presents thematic findings from new empirical research funded by Research Councils UK through the research programme of CREATe. Drawing upon original qualitative data, it examines the role of copyright in visual artists’ practices. Analysis of interviews conducted with fine and contemporary artists and illustrators demonstrates that the relevance of the internal aspect of copyright (the ability to exploit rights for monetary return) can vary significantly both across creative disciplines and individual practices. Similarities in artists’ experimentations, in sustaining precarious portfolio-based careers, are identified. The chapter shows that creators’ relationships with copyright are complex and highlights the value of the external aspect of copyright (the artist’s ability to exclude others from use of their works), an aspect that is often ignored.
Law and Practice, Second Edition
In its ruling in Crehan, the Court of Justice held that national courts must provide a remedy in damages for the enforcement of the rights and obligations created by Article 101 Treaty on the Functioning of the European Union (TFEU). The Court held, in sum, as follows: The full effectiveness of Article  of the Treaty and, in particular, the practical effect of the prohibition laid down in Article [101(1)] would be put at risk if it were not open to any individual to claim damages for loss caused to him by a contract or by conduct liable to restrict or distort competition. (emphasis added) The question of principle as to whether or not an undertaking is entitled to claim damages for loss suffered as a result of a breach of Article 101 TFEU was not answered specifically by the Court, but was merged with two other questions. Firstly, whether or not a party to a contract which is in breach of Article 101 TFEU may rely upon that article to seek relief from the other contracting party (the first question), and secondly, whether a rule of national law that ‘parties to an illegal agreement cannot claim damages from the other party for loss caused to him by being a party to the illegal agreement’ is compatible with EU law (the third question).Within this structure, the question of principle is the second question.
Lessons for the EU
Hakan Yılmaz, section 6.1 with the assistance of Çağdan Erdoğan
Firstly, this chapter offers an account of the recent developments and the present situation of minorities in Turkey (their numbers, locations and socioeconomic positions) and of their rights. Secondly, it discusses discrimination in Turkey today and the Kurdish question as well as its possible solutions. Thirdly, it presents a historical and theoretical account of the problematic concepts of minorities, minority rights and, in general, the concepts of rights and freedoms in Turkey in the context of the historical interactions between Turkey and Europe, starting from the decline and collapse of the Ottoman Empire.
Benjamin Ho and David Huffman
Understanding the nature of trust has substantial implications for thinking about the economics of law. In this chapter the authors consider the interaction between laws and trust. They pursue this inquiry by looking at the growth of the behavioral economics and organizational economics literatures. After describing a model of trust, the authors review results on the relationship between trust and growth from the development and macroeconomics empirical literatures. The chapter then turns to evidence from experiments that shed light on mechanisms that may link trust and the law and help us understand why in some circumstances they may be complementary and in others substitutes. The authors draw some preliminary conclusions about the factors that might contribute to explaining complementarity of trust and the law at the macro level. The chapter ends with a discussion of some specific laws, and how these interact with trust.
This chapter provides a detailed overview of some of the main attempts to develop an international framework for the protection of folklore through copyright. By tracing the development of international protection for folklore back to the early 1960s, I attempt to contextualise the current work of the World Intellectual Property Organisation (WIPO)’s Intergovernmental Committee on Intellectual Property and Genetic Resources, Traditional Knowledge and Folklore (IGC), which remains focussed on forming a workable international instrument. I aim to unpack the reasons why such an instrument was originally pursued and why it continues, despite the many complexities associated with the protection of folklore. Finally, given that many states, particularly in the global South, do provide protection for their folklore, this chapter attempts to provide a sense of the current imbalance in copyright protection between jurisdictions that the absence of an international standard permits.