Last Update: 11/11/2004
Instructor:
John Whitehead
e-mail: whiteheadjc@appstate.edu
What is Forensic Economics?
Forensic economics is the branch of economics that deals with the role of economists in litigation, both in terms of specific methods of measurement that are used to prepare reports used in litigation, and in terms of the impact that use of economic experts has on the process of litigation itself. Forensic economists work on quantifying someone’s economic loss. What would have been if a certain event had not occurred? It involves projection and estimates of values and an element of forecasting. In major cases, the forensic economist has a counterpart on the opposing side who presents his/her own set of figures. Differences become a matter for the court to decide. It often involves a form of teaching. Presenting an analysis in writing, verbally, and perhaps graphically to the court is much like in the classroom. Effective communication, the ability to express sometimes complex calculations simply is a useful skill.
References
Chapman, David J., W. Michael Hanemann, and Paul Ruud, "The American Trader Oil Spill: A View From the Beaches," AERE Newsletter, November 1998, http://www.aere.org/newsletter/Newsletter_Nov98.pdf.
Useful advice for Forensic Economists, http://www.umsl.edu/divisions/artscience/economics/ForensicEconomics/Advice.html.