NB: This is not about the discipline of Law and Economics, as espoused by the likes of Ronald Coase or Richard Posner.
A more general discussion about the foundational basis of both law and economics is something much underestimated. Why? Because understanding the basics of law in different will change your outlook on economics, and vice-versa.
The most obvious examples are property and taxation. How private/common should property be? Strictly speaking we are not talking about people holding property, but people having rights over property. This would perhaps elude to the conflicts between the capitalist/communist economic models.
Furthermore, taxation is enshrined in law but is ultimately determined by economic conditions and government policy. Fiscal conservatism, libertarianism, economic liberalism - these are labels attached to economics which have a profound impact on not just financial regulation, but more fundamentally contract law.
Take the ideas of Andreii Schleifer, a Harvard academic, on the historic development of different legal systems. According to his research, the Common Law system has developed in such a way that the countries adopting it have become economically more dynamic and advanced compared to their Civil Law neighbours.
Not forgetting the complications of politics and the practical manifestations of international and national policy, it is evident that there is much to think about in trying to devise the structures that underpin our modern societies. It will be particularly interesting to see how emerging economies will try and develop their own law along with their own historic traditions - Islamic Law, Confucian School of Thought, and colonial influences but to name a few.
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