Four Virginia Law Professors Will Present at American Law and Economics Association Meeting
Four University of Virginia law professors are presenting at the annual meeting of the American Law and Economics Association on May 7-8 at Princeton University.
“There is no higher-quality academic conference in law than the ALEA annual meeting,” said Law School Dean Paul G. Mahoney, a former member of the ALEA Board of Directors. “Selection of the papers to be presented is extremely competitive. To have four papers by members of our faculty selected is a strong reflection of the quality of scholarship being produced at Virginia.”
Professor Albert Choi is presenting “Market Conditions and Non-price Terms in Contracts” with former Virginia Law professor George Triantis, Associate Professor Michael D. Gilbert is presenting “How Much Does Law Matter? Theory and Evidence from Single Subject Adjudication,” Associate Professor Joshua Fischman is presenting “Panel Effects as Social Interactions” and Associate Professor Michal Barzuza and Professor David C. Smith from UVA’s McIntire School of Commerce are presenting “What Happens in Nevada?”
Barzuza and Smith’s paper examines what kinds of companies are drawn to incorporate in Nevada, a state with more lax rules that protect managers. Most corporations incorporate in Delaware.
“We’re trying to see what kind of corporations Nevada law attracts, and what we find is that corporations in Nevada have a much higher ratio of accounting restatements than companies in Delaware and companies in other states,” Barzuza said.
Barzuza said that companies with reporting failures are attracted to more lax laws like those in Nevada, a factor investors should care about.
“The question of which firms are choosing which law deserves some more research and understanding,” Barzuza said. “It provides investors with information — if they see firms choose bad law, they can learn information about the firm from its choices. It may also suggest that if given the option, firms that could benefit most from better law would not adopt it.”