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LPE Originals

Private Financial Markets Are Eating the World

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Over the past decade, private financial markets – the domain of venture capital, private equity, and private credit funds – have grown to the point where they now dominate financial activity. This shift has undermined the protections afforded by existing securities laws and, because pensions are one of the largest contributors to these private funds, has subjected ordinary workers to the opaque, unregulated side of financial markets.
LPE Originals

The Insurance Industry Is Not the Victim

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The rapidly worsening home insurance crisis is often understood as primarily a problem for insurers. Yet the overarching policy question should not be, “how do we save the home insurance industry from collapsing?” but rather, “what role should insurance markets play in the broader suite of policies to keep people safely housed?”
LPE Originals

The Puzzling Persistence of Gender Discrimination in Insurance

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Even though gender classifications have been eliminated from most market domains, they stubbornly persist in the insurance context. To understand this puzzling persistence, we must examine the traditions of mutualism that have shaped insurance as a social institution, and how these traditions embed gender in the tools used to price risk.
LPE Originals

Facing the Quasi-Sovereignty of Insurers

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Insurers are quasi-sovereign actors that can determine the price and terms of economic inclusion. State insurance commissioners have little leverage over insurers that threaten to withdraw coverage when faced with unfavorable regulations. The story of Prop 103 in California suggests that popular mobilization might serve as a counterweight to insurers’ power.

LPE Originals

The Re-Risking State: The Limits of Property Insurance in Florida

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In Florida, insurers increasingly rely on external capital to prepare for the possibility of high loss climate events. Sophisticated financial tools such as insurance-linked securities provide a temporary solution to growing climate risk in coastal regions, but in the long run, they do not address the fundamental causes of the insurability crisis.
LPE Originals

Insurance Risk and Democratic Police Reform

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Municipal liability insurers have often unrecognized incentives to discourage reforms aimed at reducing police misconduct. For insurers, the predictability of losses is more important than the level of losses. This means that they are likely to oppose democratic reforms that create uncertainty and make it difficult to price the risks of police misconduct.
LPE Originals

Private Insurance, Public Power: A Symposium

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From the health care we receive to the services our cities provide, private insurers wield significant public power. Over the next few weeks, this symposium will examine the sweet actuarial science and its industries from a law and political economy perspective.
LPE Originals

How Universities Exploit the Tax-Exempt Status of Campus Land

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Over the past few decades, universities have become some of the largest employers, real estate holders, health care providers, and even policing agents in cities and towns across the country. How did these educational institutions come to exert such power over their communities? One under-appreciated factor is the monetization of “non-profit” campus land.
LPE Originals

Can Subsidies Discipline Capital?

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The Biden Administration’s recent foray into industrial policy relies heavily on voluntary inducements to push firms to invest in renewable energy technology and domestic manufacturing. Some observers argue that this approach, commonly known as “derisking,” will yield paltry results: firms will pursue the same priorities they would have absent the legislation, just with a better financial return. Yet subsidies do not only alleviate risk; they also impose a new risk of falling behind competitors, and so mold the landscape of profitability into a disciplinary force itself.
LPE Originals

(Some of) The Best New LPE and LPE-Adjacent Scholarship

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With the spring submission season nearly in the books, we highlight some of the most exciting forthcoming LPE and LPE-adjacent articles. Covering antitrust, legal theory, climate change, religion, disability, labor, consumer protection, criminal law, and so much more, this scouting report is not to be missed.
LPE Originals

Social Media, Authoritarianism, and the World As It Is

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Disagreement over recent TikTok legislation reveals a deep divide about our current political moment. Should we, like many of the bill’s proponents, assume the existence of a functional, liberal state whose machinery tends toward justice? Or do recent illiberal trends give us reason to reject this assumption? Before we move to further concentrate global surveillance and propaganda power in the hands of the United States, we should be clear-eyed about the threats to speech and privacy that emanate from within.
LPE Originals

A Netchoice Win Would Be a Loss for Democracy

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A ruling that tech companies don’t have to comply with neutral regulations would not just block two sloppy laws, it would put a block on politics itself. This is a moment for the Court to stand back and allow democracy to work its clumsy, painful magic.
LPE Originals

The Political Effects of Neoliberalism

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Why have less-educated Americans, long the base of the Democratic Party, flocked to Republicans in recent decades? New research shows that much of this change can be explained by the Democratic Party’s evolution on economic policy, as the party gradually moved away from its traditional emphasis on “predistribution policies” (favored by less-educated Americans), instead embracing redistributive tax-and-transfer policies (favored by more-educated Americans).