LAW AND ECONOMICSlaw and economics. (often cap.)
1. A discipline advocating the economic analysis of the law, whereby legal rules are subjected to a cost-benefit analysis to determine whether a change from one legal rule to another will increase or decrease allocative efficiency and social wealth. ? Originally developed as an approach to antitrust policy, law and economics is today used by its proponents to explain and interpret a variety of legal subjects.
2. The field or movement in which scholars devote themselves to this discipline.
3. The body of work produced by these scholars.