We study a platform’s incentives to remove IP-infringing products and the effects of holding the platform liable for such infringements on innovation and welfare. We first show that platform liability can lead to either higher or lower commission rates, depending on how screening affects...

Businesses increasingly rely on algorithmic systems and machine learning models to make operational decisions about customers, employees, and counterparties. These "algorithmic operations" can improve efficiency but also concentrate liability in a small number of technically complex, drifting...

Health care costs in the U.S. have grown dramatically over the past several decades, with one possible cause being physicians providing unnecessary services out of fear of being sued for malpractice - a phenomenon known as "defensive medicine". States responded by enacting different types of...