Law and Economics Commons^™

What Is The Distribution Of National Historical Parks?, Randall K. Johnson

Faculty Works

In an increasingly polarized nation, which no longer can reach any consensus about what is meant by the term “common good,” it might be wise to extend additional protections to national monuments from executive branch interference. But prior to doing so, the U.S. Congress may want to undertake some additional research work. Such research could build on the existing charge of the National Park Service as well as other interested parties. By doing so, Congress gains insight into whether and how this federal legislature should expand protections for national historical parks.

My article explains, at least in part, how Congress …

Arbitrating With Indian Tribes: Separability, Tribal Sovereign Immunity, And Exhaustion Of Tribal Remedies, Paul F. Kirgis

Faculty Law Review Articles

Indian tribes have emerged as significant contributors to the national and regional economies, notably through industries such as gaming, natural resource extraction, technology, and consumer lending. This increasing commercial activity brings with it increasing commercial disputes. Both Indian tribes and their nonmember counterparts need a fair and reliable forum to ensure that agreements are performed, loans repaid, and avoidable harms compensated. But the complex legal landscape of tribal sovereignty and jurisdiction complicates dispute resolution involving tribes. Tribes’ status as sovereign entities raises challenging issues of federal and state court jurisdiction, tribal sovereign immunity, and exhaustion of tribal remedies. Arbitration offers …

Politics And Institutional Change: The Water Commission Act Of 1913, Mark Kanazawa

Department of Economics Working Paper Series

Economists have long argued that increasing resource scarcity can lead to more clearly defined individual property rights, but the precise mechanism whereby this occurs remains unclear to this day. This paper documents the role of politics in shaping the creation of individual property rights within the context of appropriative water law in early 20th century California, finding evidence of both party ideology and interest group influence in establishing a new system for administering appropriative water rights.

The Potential And Perils Of Financializing Climate Risk Governance: Insights For Urban Policymakers, Emma Colven, Madison Condon, Kelly Hereid, Savannah Cox

Faculty Scholarship

In this roundtable discussion, Savannah Cox speaks with three experts about the financialization of climate risk governance: Kelly Hereid, a climate scientist at Liberty Mutual, Madison Condon, an associate professor at Boston University School of Law, and Emma Colven, a lecturer in risk, environment, and society at King’s College London. In this conversation that ranges from Miami to Jakarta, Savannah, Kelly, Madison, and Emma discuss the legal, political, and technical challenges relating to financialized climate risk governance: on one hand, the rise of insurance companies and rating agencies as de facto “risk assessors” and, on the other hand, the proliferation …

Digital Economy Innovation In The Indo-Pacific: Towards A 'Singapore Effect'?, J.G. Allen, Qiu Xu Martin Liao

Research Collection Yong Pung How School Of Law

This paper examines the rise of Digital Economy Agreements (DEAs) in the Indo-Pacific as a strategic response to digital trade fragmentation and great power competition. Focusing on Singapore’s leadership, we introduce the ‘Singapore Effect’ – a model of regulatory influence distinct from others, such as the ‘Brussels Effect’ and ‘Beijing Effect.’ Unlike market-driven regulatory diffusion, the Singapore Effect emphasizes interoperability, norm entrepreneurship, and mini-lateralism, enabling middle powers to shape digital trade governance. We analyze DEA formation, implementation challenges in national law, and Singapore’s role as a bridge between diverse regulatory regimes. DEAs’ flexible, modular structure allows for incremental regulatory alignment …

Lessons Learned: Vincenzo La Via, Mercedes Cardona

Journal of Financial Crises

Vincenzo La Via joined the World Bank Group in 2005 as chief financial officer, in charge of financial reporting, accounting, strategic planning and budgeting, credit risk, corporate finance, market risk, liquidity and asset management, and product development. During his tenure, La Via took part in the bank’s response to the Global Financial Crisis (GFC) and the subsequent European Sovereign Debt Crisis. He left the bank in 2012 to become director general of the Treasury in the Italian Ministry of Economy and Finance as the Italian government took on reform of the banking sector. He left the public sector in 2019 …

Lessons Learned: Luis Jácome, Mercedes Cardona

Journal of Financial Crises

Luis Jácome was appointed president of the board of Ecuador’s central bank in 1998 by newly elected President Jamil Mahuad. He and other members of the board resigned in 1999 in protest against a number of crisis-intervention measures they saw as threatening the bank’s independence to set monetary policy. Since the 1970s, Ecuador’s economy had experienced a period of growth fueled by oil exports, but by the mid-1990s the economy was reeling from a series of shocks, among them: a sharp drop in the price of oil, the effects of severe flooding on the country’s agricultural production, and the cost …

Lessons Learned: Benoît Cœuré, Mercedes Cardona

Journal of Financial Crises

Benoît Cœuré held several positions in the French Treasury in the years leading to the Global Financial Crisis (GFC). He was an economic adviser to the director general of the French Treasury from 1997–2002, deputy chief executive and chief executive of the French debt management office from 2002–2007, and assistant secretary for multilateral affairs, trade, and development from 2007–2009. He served as chief economist and deputy director general in 2009–2011. He joined the European Central Bank (ECB) during the European Sovereign debt Crisis and was responsible for market operations, market infrastructure supervision and European and international relations as a member …

Lessons Learned: Miguel Carcaño, Mercedes Cardona

Journal of Financial Crises

During the Global Financial Crisis (GFC), Miguel Carcaño served as head of the Spanish Treasury’s Fund for Orderly Bank Restructuring, the authority in charge of managing the restructuring process of the country’s credit institutions. The fund, known today as the Spanish Executive Resolution Authority, is integrated into the European network led by the Single Resolution Board (SRB) of the European Union’s banking union. Carcaño has held a number of posts within the SRB and in 2022 became head of the Single Resolution Fund, the SRB’s emergency fund, which serves as backstop for institutions across the banking union’s 21 countries.

Lessons Learned: Ignazio Angeloni, Mercedes Cardona

Journal of Financial Crises

Ignazio Angeloni was an adviser on financial integration, financial stability, and monetary policy to the Executive Board of the European Central Bank during the European Sovereign Debt Crisis and later became director general of financial stability. He coordinated the preparations for establishing the Single Supervisory Mechanism (SSM), a component of the European banking union. The SSM was created to address macroprudential gaps identified during the Global Financial Crisis and the Sovereign Debt Crisis. Angeloni has advocated in his academic papers for completing the work of the SSM by establishing a regional deposit insurance scheme that would backstop the work of …

Lessons Learned: Mark Branson, Mercedes Cardona

Journal of Financial Crises

Mark Branson joined the Swiss Financial Market Supervisory Authority (FINMA) as head of the banking division in 2010, during the European Sovereign Debt Crisis. He became deputy director of FINMA in 2013 and was named director a year later. Although Switzerland is not a member of the European Union (EU) or its banking union, the nation participates in bilateral agreements that govern trade with the EU, its largest trading partner. In the wake of the Global Financial Crisis (GFC), it enacted a number of regulations to improve oversight of the financial sector. Branson left FINMA in 2021 to become head …

How Us Bank Regulation Failed Svb And Its Supervisors, Greg Feldberg, Carey K. Mott, Jill Cetina

Journal of Financial Crises

It is well known that Silicon Valley Bank (SVB) failed in March 2023 because of a toxic combination of uninsured deposits and underwater securities. This article argues that the bank’s failure could have been avoided if SVB had been subject to two global standards established by the Basel Committee on Banking Supervision. First, the interest-rate risk in the banking book (IRR-BB) standard, never fully implemented in the United States, would have identified the bank’s extremely risky asset-liability management strategy and required remedial action 10 quarters before it failed. Second, the liquidity coverage ratio (LCR), from which US regulators had exempted …

Emergency Liquidity Assistance And Monetary Financing In The European Union: A Case Study In Fiscal Cooperation?, Vincient Arnold

Journal of Financial Crises

In the European Union (EU), primary EU treaty law prohibits central banks from engaging in monetary financing, which includes lending to insolvent firms. This legal prohibition exists alongside, and in parallel to, various regulatory provisions of the Eurosystem. As a result, EU Member State central banks face unique legal limitations when acting in their roles as lenders of last resort, providing emergency liquidity assistance (ELA). In practice, European central banks—both members of the Eurosystem and not—lend to firms of questionable solvency with some frequency, often creatively employing fiscal guarantees to limit their balance sheet exposure and shift the lending risk …

United States: Rhode Island Limited Bank Holiday, 1991, Ayodeji George, Sophia Alden

Journal of Financial Crises

In 1990, the Rhode Island Share and Deposit Indemnity Corporation (RISDIC) was a private mutual deposit insurance corporation funded by member institutions. Late that year, after the failures of two of its insured institutions in July and October, other RISDIC member institutions faced large depositor withdrawals, as concerns began to focus on the financial health of RISDIC itself. RISDIC had maintained inadequate reserves, and on December 31, 1990, it found itself lacking the resources to cover depositor withdrawals from member institutions. RISDIC leadership requested a state-appointed conservator, which meant that all its member institutions no longer had the deposit insurance …

United States: Reserve Primary Fund Suspension, 2008, Anmol Makhija

Journal of Financial Crises

In 2008, the Reserve Primary Fund was the world’s third-largest money market fund with $62.5 billion in assets. Following Lehman Brothers’ bankruptcy filing on September 15, the Primary Fund’s $785 million position in Lehman debt securities was underwater, and the fund faced severe redemption pressures from investors. In just two days, redemption requests surpassed $40 billion. Owing to the fund’s inability to liquidate assets at or above par value in the frozen markets and the inability of its sponsor, the Reserve Management Company, Inc. (RMCI), to support investors, the Reserve announced on September 16 that the Primary Fund had “broken …

India: Yes Bank Moratorium, 2020, Salil Gupta

Journal of Financial Crises

By December 2019, Yes Bank’s capital levels had dropped below the Reserve Bank of India’s (RBI) mandated threshold, as the bank was facing a combination of deposit withdrawals, losses from extraordinary credit provisions, and overexposure to stressed sectors. On March 5, 2020, India’s Ministry of Finance (MoF) and the RBI placed Yes Bank under a 30-day moratorium that restricted most banking functions and limited deposit withdrawals to INR 50,000 per person (USD 663). The purpose of this moratorium was to allow the RBI time to design a plan of reconstruction or amalgamation for Yes Bank to allow depositors limited access …

United States: National Bank Holiday, 1933, Ayodeji George

Journal of Financial Crises

By mid-February 1933, the United States was in the depths of the Great Depression and the banking system faced sustained depositor runs and currency hoarding. On February 14, the governor of Michigan declared a holiday for all banks and trusts in the state. There followed a wave of declared bank holidays and bank runs across the country. The public withdrew $1.8 billion in gold and currency from banks in February and early March, with nearly two-thirds of those withdrawals occurring in the week ended Friday, March 3. By that date, 25 of 48 states had implemented bank holidays or restricted …

Greece: National Bank Holiday, 2015, Stella Schaefer-Brown

Journal of Financial Crises

In December 2014, deposit outflows from Greek banks intensified owing to political uncertainty following the announcement of a snap presidential election and a subsequent crash of the Greek stock market. This led to a liquidity crisis in the first half of 2015. Intensifying political uncertainty, worsening liquidity, and volatility in the macroeconomic and financial markets environment peaked in the first half of 2015. The crisis was exacerbated by a February decision by the European Central Bank (ECB) that made it difficult for Greek banks to continue borrowing from its monetary policy-related liquidity programs. On June 28, 2015, the ECB announced …

Cyprus: National Bank Holiday, 2013, Stella Schaefer-Brown

Journal of Financial Crises

The Greek government debt crisis was especially hard on the two largest Cypriot banks. Bank of Cyprus (BoC) and Laiki Bank lost EUR 1.8 billion and EUR 2.3 billion, respectively, on their Greek government bonds after the European Union (EU) decision in October 2011 to haircut the bonds. Over the next year, Laiki Bank faced severe liquidity problems from depositor withdrawals, the Central Bank of Cyprus (CBC) extended to it significant emergency liquidity assistance, and the government owned 84% of the bank after injecting EUR 1.8 billion. The Cypriot economy also suffered negative effects and in March 2013, authorities negotiated …

Ecuador: National Bank Holiday, 1999, Bailey Decker

Journal of Financial Crises

After a series of exogenous shocks hit Ecuador’s economy in 1997 and 1998, foreign creditors reduced external credit lines to the country, draining liquidity. The newly created Deposit Guarantee Agency (Agencia de Garantía de Depósitos, AGD) administered deposit insurance and a new blanket guarantee and had the authority to resolve failing banks. Despite these actions, bank runs continued. After depositors reportedly withdrew USD 400 million from banks over a two-week period, on Monday, March 8, 1999, one hour before banks were supposed to open, the bank superintendent declared a surprise bank holiday effective that day; banks reopened a week later …

Argentina: National Bank Holidays, 2001, Owen Heaphy

Journal of Financial Crises

Starting in 1991, Argentina operated a currency board regime under which the central bank guaranteed a one-to-one peg of the Argentine peso to the US dollar. But in 2001, markets became increasingly concerned that the central bank would be unable to maintain the peg and would allow the peso to devalue against the dollar. At that time, more than two-thirds of Argentine bank deposits were denominated in dollars. Throughout 2001, depositors withdrew funds from banks; by November, peso deposits had declined by more than one-third and dollar deposits had fallen by one-tenth. On November 28, 2001, the systemwide banking run …

Survey Of Bank Holidays And Fund Suspensions, Rosalind Z. Wiggins, Owen Heaphy, Anmol Makhija, Stella Schaefer-Brown, Greg Feldberg, Andrew Metrick

Journal of Financial Crises

In this paper, we analyze seven case studies involving bank holidays and two involving mutual fund suspensions produced by the Yale Program on Financial Stability. Our main purpose is to assist policymakers who are considering utilizing a bank holiday in designing the most effective program as efficiently as possible. We find that a bank holiday may be most useful when designing and implementing a comprehensive remedy to an underlying problem distressing banks, particularly when an exogenous shock rather than balance sheet weaknesses is the cause of general distress to the system. A holiday is also useful to “ring-fence” one or …

Argentina: Mutual Fund Suspensions, 2019, Owen Heaphy, Anmol Makhija

Journal of Financial Crises

With Argentina facing a liquidity crisis and collapse in demand for government debt, on Wednesday, August 28, 2019, the country's minister of economy, Hernán Lacunza, announced after markets closed that the government was extending the maturity of USD 7 billion of its short-term public debt securities, among other measures. Lacunza stated that domestic retail investors would not be subject to the terms of the maturity extension and would be paid principal and interest on the affected securities per the original maturity schedule. This announcement caused confusion about the treatment of individual investors who held the affected securities indirectly through mutual …

Taxing Litigation Finance, Young Ran (Christine) Kim

Articles

The emerging litigation finance industry has the capacity to expand access to justice but also raises important legal and ethical questions. Although much has been said about the industry’s potential to increase frivolous lawsuits and permit improper control over a claim by the funders, scholarly discussion on the proper tax treatment of the parties involved has fallen by the wayside. The problem arises in classifying litigation finance contracts as either a nonrecourse loan, immediate sale, or variable prepaid forward contract, all of which discretely impact the timing and character of income. Unfortunately, courts have traditionally found it difficult to draw …

On Simple Competition Policy, Keith N. Hylton

Faculty Scholarship

These remarks address the topic of “simple competition policy for a complex world”.[1] There is much to be said in favor of simplicity in legal rules. Complex legal rules are often difficult for the individuals who must comply with the rules to understand what they mean. Complex rules are often confusing, and take a long time to understand, when in the real business world decisions must be made quickly – at the pace at which business occurs. Businessmen do not have the luxury that academics possess to read, discuss, and think about rules for long periods of time. Markets …

Climate Change And Digital Nations: Harnessing The Metaverse To Perpetuate Small Island Statehood, Nicole Bessette

Villanova Environmental Law Journal (1991 - )

No abstract provided.

Gregory Keating’S Framework For Understanding Tort Law, Martin J. Stone

Articles

Gregory Keating seeks to ground tort rights and obligations in a balancing of people’s objective interests in liberty and security, with security taking priority because it is a requirement of effective agency. I argue that Keating’s approach shares in the structural shortcomings of the economic theories he criticizes. Both theories appeal to monadic, free-standing values (efficiency, effective agency) that concern individual parties in isolation; neither theory gives an adequate account of tort law’s relational (transactional) structure. The common law distinction between misfeasance and nonfeasance illustrates the point. Keating’s harm-based framework fails to explain tort law’s most basic duty limitation, the …

Session 6: Ai Regulation: The Role Of Washington State Legal Organizations, Alicia Burton, Michele Carney, Ryan Harkins, Craig Shank, Drew Simshaw, Christon Skinner, Leslie Veloz

SITIE Symposiums

In session six of the SITIE 2025 Symposium, the panelists discuss how legal institutions in the State of Washington are responding to the challenges surrounding artificial intelligence (AI). Being aware that AI is continuing to evolve and will inevitably be integrated more into the legal field, this session discusses the benefits and concerns of AI and what legal institutions like the Board of Judicial Administration, Washington State Bar Association (WSBA) Committee on Professional Ethics, and the Washington State Bar Association Legal Technology Task Force are doing to educate lawyers and what changes, if any, are being done to address AI …

Session 3: Conference Spotlight- Politics In A World Of Ai Misinformation: Regulatory Approaches, Richard Painter, Mark Verstraete

SITIE Symposiums

Considering developments regarding AI-generated media, fake news, and impersonations, panelists discuss the challenges in regulating AI-generated media, particularly in the context of deepfakes and political misinformation. Panelists discuss the evolution of content from a text-based presentation to video-based manipulations, along with broader concerns, including the role of social media platforms, how platforms are becoming more focused, confirmation bias of individual voting publics, and the potential conflicts of interest in regulating AI-generated content. Panelists suggest solutions involving a proactive method to warn the public about AI-generated misinformation. Further, the panelists also call for greater inter-disciplinary collaboration to develop flexible and forward-thinking …

Session 2: The Cases For Industry Self-Regulation And Government Regulation Of Ai, Boaz Ashkenazy, Kevin Bartholomew, Kevin De Liban, Christopher Yoo

SITIE Symposiums

In Session Two of the SITIE 2025 Symposium titled “The Cases for Industry Self-Regulation and Government Regulation of AI,” moderated by Seattle University Technology Ethics Initiative Director and Professor Onur Bakiner, the panelists discuss their perspectives and experiences with AI regulation. They share observations about the industry and delve into the topics of AI complexity, concerns around accountability, the shift to agentic AI, the current state of AI regulation, existing legal guardrails, and their outlook on AI regulation.