Creating markets in no-trust environments: The law and economics of smart contracts

Smart contracts, self-executing agreements based on blockchain technology, have the capacity to create trust in what we term no-trust contracting environments. We argue that using them in such environments is the path to unleash the full potential of smart contracts. Compared to the contract enforcement mechanisms characterized by traditional contract law or relational contracts, smart contracts can offer a superior solution for facilitating trade.Several lawyers and economists have debated whether smart contracts might offer the prospect of cheaper, faster and better transactions. As we discuss below, contract law scholars caution that they neither replicate the relational context essential for the day-to-day practice of contracting nor offer a superior solution to problems addressed by traditional contract law, such as contract validity and legality. We clarify and systematize the current thinking on the legal nature and reliability of smart contracts, and address the concerns of contract law scholars. While doing that, we suggest a step forward in characterizing contracting environments, contract enforcement mechanisms and the trust relationship underlying contracts.     

Cyberbullying in Portuguese Schools: Prevalence and Characteristics

This study examined the extent and nature of cyberbullying in 23 Portuguese schools. A sample of 3,525 sixth-, eighth-, and eleventh-grade students completed a self-response questionnaire assessing their perceptions and experiences of cyberbullying. The findings showed that 7.6% of students have been victimized, and 3.9% have bullied others at least once over the last year. The incidences of victimization were higher for females and for the older students. In contrast, more boys reported having bullied others in the eleventh grade. The most frequent medium of cyberbullying was via websites, whilst sending offensive messages was the most widely reported type of behavior. Telling someone about cyberbullying is among the most frequent coping strategies used by cybervictims, who usually chose to tell their friends rather than adults. Implications of these findings for students, schools, and parents are discussed.     

Does Legal Semiotics Cannibalize Jurisprudence?

Does Duncan Kennedy successfully cannibalize jurisprudence? He attempts to do it by demonstrating the inexistence of rightness in legal argumentation. If there is no right legal argument, then there is no right answer in adjudication, adjudication is not a rational enterprise and legal doctrine cannot be said to be a science. It can be shown that skepticism is self-defeating. Duncan Kennedy can avoid self defeat only because he actually believes in a lot of legal arguments. His thesis that judges decide questions of policy without any methodology that distinguishes them from legislators does not hold. Judicial reasoning is subject to constraints that do not affect legislators. It must be based on the sources of law and is limited by rules of procedure. Even when the judges have ‘interstitial’ legislative powers they are, unlike the legislator, bound to fit the system and their decisions are considered in procedure from the perspective of the right answer doctrine. The only work that can convincingly refute the skeptic argument against legal science is the reconstruction of jurisprudence as a scientific enterprise. Such work is beyond the scope of any single paper. The article aims to give some inspirations for such a task.     

Do intergovernmental transfers affect the distribution of manufacturing production across regions in federal countries? Theory and evidence for Argentina

The effect of changes in the distribution of top-to-bottom intergovernmental transfers on the location of manufacturing production is analysed using a modified version of the footloose capital model. An increase in the share of transfers received by a region increases its share of manufacturing production the larger are transaction costs; the larger is the share of transfers going directly to consumers; the larger is the share of manufacturing consumption vis-à-vis non-tradable consumption; and the easier consumers can substitute among manufacturing varieties. Using data for Argentina for 1983-2005, the empirical analysis appears to support the existence of two distinctive regimes, with smaller/poorer provinces benefiting in terms of the location of manufacturing production as a response to an increase in transfers. Also, for these provinces, the benefits are greater if they are politically aligned with the federal government, especially through the receipt of discretionary transfers. For large/rich provinces, the evidence is less conclusive.     

House organ

“A vast, depopulated coutry; a low density of automobiles, which are propelled by a type of gas with little sulphur; windy cities with no thermal inversions; a fairly recent genocide of dissident intellectuals and political activists; an even more recent economic collapse; a fragmented and quarrelsome left; a current government economic policy which assures stability at the price of decreased wagest less job security and increased unemployment — all these ingredients serve to suggest that red-green politics are not exactly booming in Argentina.“     

The Cortes of Castile and Philip II's fiscal policy

Summary

This article analyses the evolution of the fiscal policy of the Crown of Castile in the reign of Philip II in relation to the salient characteristics of the tax system and of the political and constitutional structure of the kingdom. The character of the Kingdoms of Castile as an aggregate of autonomous communities coordinated by the superior authority of the monarch was reflected in a fiscal system based upon the delegation to local authorities of the management of the most important royal taxes (alcabalas and servicios) and thus upon principles of autonomy and decentralization which made negotiation with the Kingdom in the Cortes, both with regard to the total sum and to the conditions of its collection, unavoidable. The financial needs of Philip II led him to try to overcome the rigidities of this system by extending the fiscal powers of the Crown by means of the creation of new taxes or the increase of those already in existence, as well as by redefining the constitutional processes of negotiation with the Cortes and the cities. Nevertheless, Philip II neither succeeded in getting acceptance for all his demands nor did the pressure to which he subjected the Kingdom generate any significant change in the nature of the Castilian fiscal system nor in the politico‐constitutional bases which sustained it.