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1、Law,InformalRulesandEconomicPerformanceToSusan,withloveandgratitudeLaw,InformalRulesandEconomicPerformanceTheCaseforCommonLawSvetozarPejovichProfessorEmeritus,TexasA&MUniversity,USA,HonoraryDoctorate,UniversityofBelgrade,Serbia,andProfessorofLawandEconomics,UniversityofDonjaGorica,Montenegrowithcon
2、tributionsfromEnricoColombattoProfessorofEconomics,SchoolofEconomics,UniversityofTurin,ItalyEdwardElgarCheltenham,UK•Northampton,MA,USA©SvetozarPejovich2008Allrightsreserved.Nopartofthispublicationmaybereproduced,storedinaretrievalsystemortransmittedinanyformorbyanymeans,electronic,mechanicalorphot
3、ocopying,recording,orotherwisewithoutthepriorpermissionofthepublisher.PublishedbyEdwardElgarPublishingLimitedGlensandaHouseMontpellierParadeCheltenhamGlosGL501UAUKEdwardElgarPublishing,Inc.WilliamPrattHouse9DeweyCourtNorthamptonMassachusetts01060USAAcataloguerecordforthisbookisavailablefromtheBriti
4、shLibraryLibraryofCongressControlNumber:2008927693ISBN9781845428730(cased)TypesetbyMantonTypesetters,Louth,Lincolnshire,UKPrintedandboundinGreatBritainbyMPGBooksLtd,Bodmin,CornwallContentsListoftablesviForewordLeonardP.LiggioviiPrefaceandacknowledgmentsixPARTIBASICECONOMICCONCEPTS1Thegameandtherule
5、softhegame32Transactioncosts13PARTIITRANSFORMATIONOFTHEMEDIEVALCOMMUNITYINTOMODERNSOCIETY:THERISEOFCLASSICALLIBERALISM,THERULEOFLAWANDCAPITALISM3FromtheMiddleAgestocapitalism254Capitalismandtheruleoflaw37Appendix:Afraidtobefree:dependencyasdesideraturm46JamesM.Buchanan5Thelawofcontractandthejudicia
6、ry596Theeconomicfunctionsoftheconstitution677Privatepropertyrights868Capitalism,economicfreedomandperformance969Theruleoflawandcapitalism:anoverview105PARTIIITOWARDATHEORYOFINSTITUTIONALCHANGE10Themethodofanalysis11511Theinteractionthesis12112Thecarriersofchange:theroleofentrepreneurs12913Formalins
7、titutions14114Informalinstitutionsorculturaltraditions:theroleofpathfinders15515Efficiency-friendlyinstitutionalchangewithinthestructureoftradition164Index171vTables2.1TheCoasetheorem142.2Thetransactioncost
