Abstract: | At present, there are some great differences in how to understand Coase Theorem in China. Based on Coase''s consistent theoretical logic, the keystone of Coase Theory is the second Theorem, a legal analysis of the economy. However, based on optimizing the model of neoclassical economics, Judge Posner thinks the Coase Theorem is the first Theorem, a theory based on zero transaction cost assumption. Based on the first Coase Theorem and its optimizing thought, Judge Posner considers the wealth maximization is the final objective of the legislation and justice. Comparing with the Coase thought of legal analysis of the economy, this is a thought of an economic analysis of law, so Posner''s understanding of Coase Theorem is a problematical thought. Once this theory which is looked like the foundation of law and economics is applied in China, there will be some misunderstanding and mistakes about Coase Theorem. Therefore, we should back to Coase''s Economics in Definition Rights in the future. |