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Simple rules for a more inclusive economy

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  • Vlad Tarko

    (University of Arizona)

Abstract

This paper explores some of the reasons why capitalism experiences periodic crises of legitimacy and asks whether Richard Epstein’s “simple rules” heuristic can help. The current legitimacy problem is exacerbated by the fact that we are also in a low growth situation. This means that some policy instruments that could have been used to increase legitimacy may no longer be available. The “simple rules” heuristic can help as a guide to reforms that would simultaneously address the legitimacy problem, while avoiding making the growth problem worse.

Suggested Citation

  • Vlad Tarko, 2021. "Simple rules for a more inclusive economy," European Journal of Law and Economics, Springer, vol. 52(2), pages 229-249, December.
    • Handle: RePEc:kap:ejlwec:v:52:y:2021:i:2:d:10.1007_s10657-020-09674-2
    DOI: 10.1007/s10657-020-09674-2
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    References listed on IDEAS

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    More about this item

    Keywords

    Legitimacy; Inequality; Economic disruption; Growth; Rule of law; Generality norm;
    All these keywords.

    JEL classification:

    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • K10 - Law and Economics - - Basic Areas of Law - - - General (Constitutional Law)
    • K20 - Law and Economics - - Regulation and Business Law - - - General
    • P16 - Political Economy and Comparative Economic Systems - - Capitalist Economies - - - Capitalist Institutions; Welfare State

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