An Analysis of Judgment Proof Problem When the Firms Can Change Activities

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  • Kuwana Kinzo
    The Coalition of Local Governments for Environmental Initiative, Japan Research Institute for Environmental Policies

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  • 賠償資力不足が企業の注意水準に与える影響に関するモデル分析
  • バイショウ シリョク ブソク ガ キギョウ ノ チュウイ スイジュン ニ アタエル エイキョウ ニ カンスル モデル ブンセキ

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Abstract

The studies of judgment proof problem are based on analyses using the models in which firms' activities are fixed, although the activities are variable for them and, in the court, their negligence is not always judged by the formalized care in the previous studies. Furthermore the studies have not used numerical method, because likely probability and damage function can not be decided as the definition of care is inappropriate. This paper denotes result of analysis by numerical method using the model in which firms' care is decoupled with the formalized one and firms' activities are variables. It shows that, even under negligence rule, judgment proof problem is more serious than in the previous studies.

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