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Economic analysis of law in the economic world

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Economics is the analysis of distribution, production and consumption of goods and services.

Economic analysis can be done throughout the society as in finance, business, government,

health care, family, education, science, religion, law, and politics and so on. Economics is

the science that studies the human behavior as a relationship between two persons who have

alternative uses. Law and economics is the application of economic theory to the analysis of

law. To explain the effects of law the economic concepts are used in which the legal rules are

economically efficient and it will predict which legal rule is suited. There are two ways in

analysis of law first one is the theoretical analysis on efficiency. This is the simple and easy
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term and the legal situation will be efficient if the right thing is given to the opposite party who

will pay for it. Law and economics stresses that the economic markets are more efficient than

courts and it is important that there are two different theories of legal efficiency and law scholars

support both arguments. The private legal system should perform three facts that belong to

property rights. Those are the system should define the property rights, the system should allow
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the proper transfer, and the system should protect the property rights.
More investments with real estate

Real estate is the land property or the building on the land along with the natural resources like

trees, water, minerals and crops. Immovable properties of this nature have come under this

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Economic analysis of law in the economic world


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