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Cybersecurity is an increasing problem for which the market may fail to produce a solution. The ultimate source is that computer owners lack adequate incentives to invest in security because they bear fully the costs of their security precautions but share the benefits with their network partners. In a world of positive transaction costs, individuals often select less than optimal security levels. The problem is compounded because the insecure networks extend far beyond the regulatory jurisdiction of any one nation or even coalition of nations. This book brings together the views of leading law and economics scholars on the nature of the cybersecurity problem and possible solutions to it. Many of these solutions are market based, but they need some help, either from government or industry groups or both. Indeed, the cybersecurity problem prefigures a host of 21st century problems created by information technology and the globalization of markets.
Mark F. Grady is Professor of Law and Director of the Center for Law and Economics at the UCLA School of Law. He specializes in law and economics, torts, antitrust, and intellectual property. He received his A.B. degree summa cum laude in Economics and his J.D. from UCLA. Before beginning his academic career, Grady worked for the Federal Trade Commission, the US Senate Judiciary Committee, and American Management Systems. Francesco Parisi is Professor of Law and Director of the Law and Economics Program at George Mason University School of Law and Distinguished Professor of Law at the University of Milan.
Release date NZ
November 30th, 2005
Edited by Francesco Parisi
Edited by Mark F. Grady
Country of Publication
Cambridge University Press
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