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Contract theory and mortgage foreclosure moratoria

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Abstract

Contracts are an essential institution in capitalist economies. Contract law provides a long and interesting constitutional history. At the same time, mortgage foreclosure moratoria is shown to be an occasional and repeated phenomenon. This paper explores the legal and economic aspects of this issue via a survey of the schools of thought on contracts. The paper also speculates about the nature of mortgage contracts and the economics of moratoria statutes.

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Authors and Affiliations

  1. The Smeal College of Business Administration, The Pennsylvania State University, 16802, University Park, PA, USA

    Austin J. Jaffe

  2. The Smeal College of Business Administration, The Pennsylvania State University, 16802, University Park, PA, USA

    Jeffery M. Sharp

Authors
  1. Austin J. Jaffe
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  2. Jeffery M. Sharp
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Jaffe, A.J., Sharp, J.M. Contract theory and mortgage foreclosure moratoria. J Real Estate Finan Econ 12, 77–96 (1996). https://doi.org/10.1007/BF00127767

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