KoGuan Law School Wang Xinyuan & Ding Junjie

1. KoGuan Law School Wang Xinyuan & Ding Junjie

2. Key Words Legal Origins Economic Outcomes LLSV

3. Legal Origins A broad conception Crucial factors for the style of a legal family

4. Legal Origins

5. Legal Origin Distribution

6. A Brief Introduction of Legal Origins

7. French Family French Revolution and Napoleon’s codes Ideologies:use state power to alter propertyrights Legal influence Involuntary transplantation

8. German Family Base on Roman law German Commercial vs. French system Legal influence:China

9. Socialist Family Originate in the Soviet Union Revertion to French or German law after the fall of Berlin Wall Disappeared

10. Scandinavian Family Less derivative from Rman law Distinct

11. Five points about this classification Exceptions of voluntary transplantation French civil law :the most distict civil law Mutual influence of common law and civil law Legislation in common law The reclassification of transition economies

12. Economic outcomes

13. Three categories(1)

14. Categories(2)

15. Categories(3)

16. A Brief introduction of LLSV Rafael La Porta Florencio Lopez-de-Silanes Andrei Shleifer Robert Vishny

17. About LLSV's Research rank the strength or weaknesses of lawsby assigning a numerical value to each type of law in a particular field compare the efficacy of different legal systems how these legal systems correlate with particular goals such as economic growth or employment. a methodology of data analysis

19. Main Conclusions of LLSV

20. Other Conclusions • The law systems in rich countries are better at protecting investers than those in poor countries.

21. Other Conclusions • A poor protection for investers may lead to a more inferior external finance and a smaller capital market

22. The Theoretical Contribution of LLSV's Research • The first attemption to apply data analysis to lagal research • May be helpful to those fields LLSV never reached (eg. PE) A Brand New Methodology

23. The Practical Importance of LLSV's Research The World Bank Use LLSV's research Asses and promote a particular way of legal development

24. The Controversy Against LLSV's Research SO BUT

25. The Controversy Against LLSV's Research LLSV's Idea: common law judges have discretion to shape rules to changing economic circumstances, while civilian judges are bound to apply misleading because based on a superficial and outdated image of the differences between the common law and the civil law

26. Other Critisisms of LLSV's Research Has Already Been Amended by LLSV's Later Papers

27. How Do Legal Laws Evolve?

28. A Brief Introduction of the Research

29. Different Results Compared with LLSV

30. Different Results Compared with LLSV

31. Main Conclusions common law countries were not outperformed by civil law countries in various shareholders protection measures labour law was in fact positive for economic development in most cases.

32. Main Conclusions • legal origin effect needs to be considered alongside other more recent influences including the impact of transnational standard setting in company, insolvency and labour law. • there is not any assumption here that common law institutions are better fitted to market-based economic systems than those of the civil law.

33. Thanks