Southern Utah University

Course Syllabus

Southern Utah University
Southern Utah University
Spring Semester 2026

Economics Behind the Law (Face-to-Face)

ECON 4900-02

Course: ECON 4900-02
Credits: 4
Term: Spring Semester 2026
Department: ECON
CRN: 10355

Course Description

Topics in specialized fields of economics and advanced quantitative methods, varying by semester. Repeatable for 12 credit hours, provided course content is different. (Spring) [Graded (Standard Letter)] Prerequisite(s): ECON 2010 and ECON 2020 and MATH 1040 and MATH 1100 - Prerequisite Min. Grade: D- Repeatable for Add’l Credit? Yes - Total Credits: 12

Required Texts

Economics Behind the Law, A manuscript of Roderick He for the Law and Economics class at SUU.

Optional Reading:
Thomas J. Miceli, The Economic Approach to Law, Stanford Univ. Press, 3rd Edition, 2017, ISBN-13: 978-1503600065[1]
  • Further supplemental reading: Wittman, D. A. (Ed.). (2003). Economic analysis of the law: Selected readings. Massachusetts: Blackwel

[1] You can purchase more affordable options from ebay of the 2nd editions or find other low-cost e-edition options.

Learning Outcomes

This course teaches how to understand the structure and evolution of the legal system from an economic perspective. Selected rules and institutional forms that are drawn from the common law of tort, contract, property, and crimes are studied. Students are expected to develop economic intuition and master the application of microeconomic theories to analyze how laws handle disputes that mostly arise from imperfect information, externalities, and moral hazard.

Through reverse classroom experiences, students will also develop critical thinking, rigorous and consistent reasoning, courteous debate, persuasion, public speaking skills that are not only essential for legal profession, but also valuable for careers in general.

Course Requirements

No prior knowledge of the law is required, but students are presumed to have training in fundamental microeconomics. Mastery of calculus (derivative and optimization theory specifically), game theory, and industrial organization is preferred. The course will emphasize both content and methodology.

Students are encouraged to preview pertinent readings posted regularly during weekends on Canvas.

Course Outline

Chapter 1. Introduction to Efficiency, Equity, and Comparative Juris-prudence

  • Comparison between Civil law and common law system 
  • Coase Theorem (pp. 7-10; 180-190)
  • Product rule v. liability rule (pp. 190-196)

Chapter 2. Tort Law

Fundamentals of Tort Law (pp. 18)

The Unilateral Model of Precaution (pp. 19-22)
  • Social optimum (pp. 19)
  • Injurer’s decision (pp. 20)
  • Strict Liability, No Liability, and Negligence Rules (pp. 22-23, 25)

The Hand-Rule (pp. 26-28)*
  • Extension of the Unilateral Model
  • Punitive damages and Misenforcement (pp. 47-50)
  • Activity Levels (pp. 37-39)
The Bilateral Model of Precaution (pp. 23-26, 30-32)*
 -- presentation 1

Chapter 3. Product Liability, (pp. 58-73, core: 63-70).
  • Invariant efficiency to assignment of liability
  • Misperception and comparative advantage against risk

Property Law
Chapter 6. Fundamentals
  • Emergence of Property Rights (pp. 147-153)
  • Legal protection of property rights and the protection model (pp. 154)
  • Land protection system (pp. 155-160)*
  • Leasing, the model of the Law of Waste (pp. 161-163)

 Chapter 7. Takings Law (Eminent Domain, pp. 205-217)
  • Public Use and the scope of takings (pp. 206)
  • Just compensation (pp. 211-213)
  • The model of eminent domain vs. land-use incentive (pp. 214-217)
 -- presentation 2

Contract Law
Chapter 4. Defining a Valid Contract
  • Elements of a valid contract (pp. 92)
  • Reasons for invalidating contract and market economy (pp. 94-97)

Chapter 5. Remedies for Breach
  • Efficient Breach of contract (pp. 111-114)
  • Different compensation rules (pp. 113-116)
  • Model of efficient Reliance (pp. 116-121)
-- presentation 3

Instructor's policies on late assignments and/or makeup work

No late submission will be accepted, unless specifically approved by DRC.

Attendance Policy

Attedance is required because of the heavy discussion nature of the course. Missing class means missing the activities including group presentations, debate, moot court, which could be hardly made up by later work.

Course Fees

Regular school of business course fee will be charged.

ADA Statement

Students with medical, psychological, learning, or other disabilities desiring academic adjustments, accommodations, or auxiliary aids will need to contact the Disability Resource Center, located in Room 206F of the Sharwan Smith Center or by phone at (435) 865-8042. The Disability Resource Center determines eligibility for and authorizes the provision of services.

If your instructor requires attendance, you may need to seek an ADA accommodation to request an exception to this attendance policy. Please contact the Disability Resource Center to determine what, if any, ADA accommodations are reasonable and appropriate.

Academic Credit

According to the federal definition of a Carnegie credit hour: A credit hour of work is the equivalent of approximately 60 minutes of class time or independent study work. A minimum of 45 hours of work by each student is required for each unit of credit. Credit is earned only when course requirements are met. One (1) credit hour is equivalent to 15 contact hours of lecture, discussion, testing, evaluation, or seminar, as well as 30 hours of student homework. An equivalent amount of work is expected for laboratory work, internships, practica, studio, and other academic work leading to the awarding of credit hours. Credit granted for individual courses, labs, or studio classes ranges from 0.5 to 15 credit hours per semester.

Academic Freedom

SUU is operated for the common good of the greater community it serves. The common good depends upon the free search for truth and its free exposition. Academic Freedom is the right of faculty to study, discuss, investigate, teach, and publish. Academic Freedom is essential to these purposes and applies to both teaching and research.

Academic Freedom in the realm of teaching is fundamental for the protection of the rights of the faculty member and of you, the student, with respect to the free pursuit of learning and discovery. Faculty members possess the right to full freedom in the classroom in discussing their subjects. They may present any controversial material relevant to their courses and their intended learning outcomes, but they shall take care not to introduce into their teaching controversial materials which have no relation to the subject being taught or the intended learning outcomes for the course.

As such, students enrolled in any course at SUU may encounter topics, perspectives, and ideas that are unfamiliar or controversial, with the educational intent of providing a meaningful learning environment that fosters your growth and development. These parameters related to Academic Freedom are included in SUU Policy 6.6.

Academic Misconduct

Scholastic honesty is expected of all students. Dishonesty will not be tolerated and will be prosecuted to the fullest extent (see SUU Policy 6.33). You are expected to have read and understood the current SUU student conduct code (SUU Policy 11.2) regarding student responsibilities and rights, the intellectual property policy (SUU Policy 5.52), information about procedures, and what constitutes acceptable behavior.

Please Note: The use of websites or services that sell essays is a violation of these policies; likewise, the use of websites or services that provide answers to assignments, quizzes, or tests is also a violation of these policies. Regarding the use of Generative Artificial Intelligence (AI), you should check with your individual course instructor.

Emergency Management Statement

In case of an emergency, the University's Emergency Notification System (ENS) will be activated. Students are encouraged to maintain updated contact information using the link on the homepage of the mySUU portal. In addition, students are encouraged to familiarize themselves with the Emergency Response Protocols posted in each classroom. Detailed information about the University's emergency management plan can be found at https://www.suu.edu/emergency.

HEOA Compliance Statement

For a full set of Higher Education Opportunity Act (HEOA) compliance statements, please visit https://www.suu.edu/heoa. The sharing of copyrighted material through peer-to-peer (P2P) file sharing, except as provided under U.S. copyright law, is prohibited by law; additional information can be found at https://my.suu.edu/help/article/1096/heoa-compliance-plan.

You are also expected to comply with policies regarding intellectual property (SUU Policy 5.52) and copyright (SUU Policy 5.54).

Mandatory Reporting

University policy (SUU Policy 5.60) requires instructors to report disclosures received from students that indicate they have been subjected to sexual misconduct/harassment. The University defines sexual harassment consistent with Federal Regulations (34 C.F.R. Part 106, Subpart D) to include quid pro quo, hostile environment harassment, sexual assault, dating violence, domestic violence, and stalking. When students communicate this information to an instructor in-person, by email, or within writing assignments, the instructor will report that to the Title IX Coordinator to ensure students receive support from the Title IX Office. A reporting form is available at https://cm.maxient.com/reportingform.php?SouthernUtahUniv

Non-Discrimination Statement

SUU is committed to fostering an inclusive community of lifelong learners and believes our university's encompassing of different views, beliefs, and identities makes us stronger, more innovative, and better prepared for the global society.

SUU does not discriminate on the basis of race, religion, color, national origin, citizenship, sex (including sex discrimination and sexual harassment), sexual orientation, gender identity, age, ancestry, disability status, pregnancy, pregnancy-related conditions, genetic information, military status, veteran status, or other bases protected by applicable law in employment, treatment, admission, access to educational programs and activities, or other University benefits or services.

SUU strives to cultivate a campus environment that encourages freedom of expression from diverse viewpoints. We encourage all to dialogue within a spirit of respect, civility, and decency.

For additional information on non-discrimination, please see SUU Policy 5.27 and/or visit https://www.suu.edu/nondiscrimination.

Pregnancy

Students who are or become pregnant during this course may receive reasonable modifications to facilitate continued access and participation in the course. Pregnancy and related conditions are broadly defined to include pregnancy, childbirth, termination of pregnancy, lactation, related medical conditions, and recovery. To obtain reasonable modifications, please make a request to title9@suu.edu. To learn more visit: https://www.suu.edu/titleix/pregnancy.html.

Disclaimer Statement

Information contained in this syllabus, other than the grading, late assignments, makeup work, and attendance policies, may be subject to change with advance notice, as deemed appropriate by the instructor.