Those crazy transaction costs: on the irrelevance of the equivalence between monetary damages and specific performance

The Coase theorem tells us that monetary damages and specific performance remedies for breach of contract have identical effects when transaction costs are zero. This has become a standard part of the literature on the economics of contract law. This note argues that the traditional view is somewhat misguided, as monetary damages and specific performance remedies are unnecessary in a zero transaction costs world. We go on to show how the presence of transaction costs impact the decisions of contracting parties as between the inclusion of liquidated damages clauses in contracts and resorting to litigation that could result in the application of either monetary damages or specific performance remedies.     

Is Mexican democracy consolidated?

In the wake of Mexico's electoral watershed of 2 July 2000, many scholars are willing to classify the country as an electoral democracy, yet debate persists over whether Mexican democracy is consolidated. This article seeks to advance this debate by clarifying the meaning of the term democratic ‘consolidation’ and how it should be operationalised. It argues that the concept should refer exclusively to a regime with a low probability of democratic breakdown. This avoids the conceptual confusion created by viewing consolidation as any change that improves the quality of democracy. In terms of measuring consolidation, it maintains the importance of placing greater weight on the proximate cause of regime instability, anti‐democratic behaviour, and discounting more remote causes of democratic breakdown, including economic performance, institution building, and attitudinal support. Based on this understanding, the article explains why Mexican democracy is fully consolidated.     

Gender Differences in Worry About a Terrorist Attack: A Cross-National Examination of Individual- and National-Level Factors

Prior research has found gender to be associated with worry about crime and terrorism. We used World Values Survey data to assess gender differences in worry about terrorism across 54 nations. Analyses also examined the influence of individual- and national-level factors. Women were significantly more worried about terrorism in 22 of the 54 nations. Men in Iraq, Libya, Yemen, and New Zealand were significantly more worried about terrorism than women. Individuals were more likely to worry about terrorism as the nation’s average mortality count in terrorist incidents increased. Policy implications and directions for future research are discussed.     

Social Institutions,Theory Development,and the Promise of Comparative Criminological Research

This paper highlights the ways in which recent comparative criminological research has begun to advance theory development by directing systematic attention to the role of institutional structure. The overarching thesis is that sensitivity to the institutional context in recent criminological studies, especially those conducted in Asia, has paved the way for the productive elaboration of two highly influential theories: Routine Activities Theory and the General Theory of Crime (or self-control theory). Such theoretical elaboration promises to enhance the explanatory power of these theories by placing individual behavior in a multilevel, institutional context. The paper also outlines a transformed variant of self-control theory that posits two distinctive forms of self-control, which are likely to have differential impacts on criminal offending depending on features of the institutional structure of societies.     

Marginal Pricing and Student Investment in Higher Education

This paper examines the effect of marginal price on students’ educational investments using rich administrative data on students at Michigan public universities. Marginal price refers to the amount colleges charge for each additional credit taken in a semester. Institutions differ in how they price credits above the full‐time minimum (of 12 credits), with many institutions reducing the marginal price of such credits to zero. We find that a zero marginal price induces a modest share of students (i.e., 7 percent) to attempt up to one additional class (i.e., three credits) but also increases withdrawals and lowers course performance. The analysis generally suggests minimal impacts on credits earned and the likelihood of meeting “on‐time” benchmarks toward college completion, though estimates for these outcomes are less precise and more variable across specifications. Consistent with theory, the effect on attempted credits is largest among students who would otherwise locate at the full‐time minimum, which includes lower‐achieving and socioeconomically disadvantaged students.