LAW AND ECONOMICS AND THE CHOICE OF JUDGES: CONSTITUTIONAL INCENTIVES FOR DISRESPECTING THE REMUNERATION CEILING

Authors

  • Henrique Serra Sitja Universidade Federal do Rio Grande do Sul
  • Giácomo Balbinotto Neto Universidade Federal do Rio Grande do Sul

DOI:

https://doi.org/10.31501/ealr.v10i1.9313

Keywords:

Execução da pena, Presunção de Inocência, Trânsito em Julgado, Supremo Tribunal Federal Brasileiro

Abstract

This paper studies the constitutional rules regarding the remuneration of Brazilian judges. The work aims to investigate the reasons that led to the establishment of remuneratory perks – the most infamous being the housing aid – disregarding the provision of the lump sum compensation pay defined in the constitution. In order to do so, a brief revision on contract theory is presented, especially pertaining to labor relations. Propositions related to principal-agent theory and the utility function of magistrates are considered. These remarks are rendered in an optimum control theoretical model, which indicate the incentives given by the constitutional provisions that eventually resulted in the freezing of the compensation and the institution of additional pays. Finally, the results obtained through the model conduct to policy recommendations intending to avoid the undesired consequences.

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Published

2019-11-21

Issue

Vol. 10 No. 1 (2019): Economic Analysis of Law Review

Section

Papers

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