What economic problems are created by “iron-clad” property rights?
What is the economic rationale provided for the infringement of private property rights?
Discuss the overall (economic-wide) impact of your infringement example.
Is it common?
What is its effect on incentives to invest?
What steps have been taken to mitigate the economic impact of the infringement on property rights (if any)?
-Based on your example, discuss whether, in your opinion, states should infringe on property rights more or less often.
If you argue for less often, can you think of alternative mechanisms addressing the economic problems created by “iron-clad” property rights?
If you argue for more often, how would you ensure that incentives to invest are being maintained?
