From Dr. Block:
George Selgin is 100% correct when he says “Coase never suggests that historical circumstances, possession, etc, etc., etc. should play no part in legal decisions. It’s a grotesque and utterly bad faith misreading of him to suppose otherwise.”
However, to maintain this, as I do, is a reductio ad absurdum of what he does say: that the proper way to determine property rights is based on future actions, costs, benefits.
Here are some critiques of Coase on social costs that might be of interest:
Coase, Ronald H. 1960. “The Problem of Social Cost,” Journal of Law and Economics, 3:1-44; http://www.econ.ucsb.edu/~
Austro libertarian critics of Coasean law and economics:
Barnett and Block, 2005, 2007, 2009; Block 1977, 1995, 1996, 2000, 2003, 2006, 2010A, 2010B, 2010C, 2011; Block, Barnett and Callahan, 2005; Cordato, 1989, 1992a, 1992b, 1997, 1998, 2000; DiLorenzo, 2014; Fox, 2007; Hoppe, 2004; Krause, 1999; Krecke, 1996; Lewin, 1982; North, 1990, 1992, 2002; Rothbard, 1982, 1997; Stringham, 2001; Stringham and White, 2004; Terrell, 1999.
Barnett, William II and Walter E. Block. 2005. “Professor Tullock on Austrian Business Cycle Theory,” Advances in Austrian Economics, Vol. 8, pp. 431-443
Barnett, William II and Walter E. Block. 2007. “Coase and Van Zandt on Lighthouses,” Public Finance Review, Vol. 35, No. 6, November, pp. 710-733; http://pfr.sagepub.com/
Barnett, William and Walter E. Block. 2009. “Coase and Bertrand on Lighthouses,” Public Choice; 140(1–2):1–13, http://dx.doi.org/10.1007/
Block, Walter E. 1977. “Coase and Demsetz on Private Property Rights,” The Journal of Libertarian Studies: An Interdisciplinary Review, Vol. I, No. 2, Spring, pp. 111-115, http://www.mises.org/journals/
Block, Walter E. 1995. “Ethics, Efficiency, Coasean Property Rights and Psychic Income: A Reply to Demsetz,” Review of Austrian Economics, Vol. 8, No. 2, pp. 61-125, http://www.mises.org/journals/
Block, Walter 1996. “O.J.’s Defense: A Reductio Ad Absurdum of the Economics of Ronald Coase and Richard Posner,” European Journal of Law and Economics, Vol. 3, pp. 265-286; http://www.walterblock.com/
Block, Walter E. 2000. “Private Property Rights, Erroneous Interpretations, Morality and Economics: Reply to Demsetz,” Quarterly Journal of Austrian Economics, Vol. 3, No. 1, Spring, pp. 63-78; http://www.mises.org/journals/
Block, Walter E. 2003. “Private property rights, economic freedom, and Professor Coase: A Critique of Friedman, McCloskey, Medema and Zorn,” Harvard Journal of Law and Public Policy, Vol. 26, No. 3, Summer, pp. 923-951; http://findarticles.com/p/
Block, Walter E. 2006. “Coase and Kelo: Ominous Parallels and Reply to Lott on Rothbard on Coase,” Whittier Law Review, Vol. 27, No. 4, pp. 997-1022; https://litigation-essentials.
Block, Walter E. 2010A. “A Response to Brooks’ Support of Demsetz on the Coase Theorem.” Dialogue, Vol. 2; http://www.uni-svishtov.bg/
Block, Walter E. 2010B. “Rejoinder to Brooks on Coase and Demsetz.” Quarterly Journal of Austrian Economics; Vol. 13, No. 4, Winter, pp. 56-73; http://mises.org/journals/
Block, Walter E. 2010C. “Rejoinder to Boettke on Coasean Economics and Communism.” Romanian Economic and Business Review, Vol. 5, No. 3, Fall, pp. 9-90; http://www.rebe.rau.ro/REBE%
Block, Walter E. 2011. “Rejoinder to Bertrand on lighthouses.” Romanian Economic and Business Review, Vol. 6, No. 3, Fall, pp. 49-67; http://www.rebe.rau.ro/REBE%
Cordato, Roy E. 1989. “Subjective Value, Time Passage, and the Economics of Harmful Effects,” Hamline Law Review, Vol. 12, No. 2, Spring, pp.229-244.
Cordato, Roy E. 1992A. “Knowledge Problems and the Problem of Social Cost” Journal of the History of Economic Thought, vol.14, Fall, pp. 209-224.
Cordato, Roy E. 1992B. Welfare Economics and Externalities in an Open-Ended Universe: A Modern Austrian Perspective, Boston: Kluwer.
Cordato, Roy E. 1997. “Market-Based Environmentalism and the Free Market: They’re Not the Same,” The Independent Review, Vol. 1, No. 3, Winter, pp. 371-386.
Cordato, Roy. 1998. “Time Passage and the Economics of Coming to the Nuisance: Reassessing the Coasean Perspective,” Campbell Law Review, vol. 20, No. 2, Spring, pp. 273-292
Cordato, Roy. 2000. “Chasing Phantoms in a Hollow Defense of Coase” The Review of Austrian Economics, Vol. 13, No. 2, September, pp. 193-208.
DiLorenzo, Tom. 2014. “When Did Ronald Coase Become the Ayatollah of Economic Theory?” January 2; http://www.lewrockwell.com/
Fox, Glenn. 2007. “The Real Coase Theorems.” The Cato Journal: An Interdisciplinary Journal of Public Policy Analysis. Volume 27 Number 3, Fall, pp. 373-396; http://www.cato.org/pubs/
Hoppe, Hans-Hermann. 2004. “The Ethics and Economics of Private Property.” October 11; http://www.lewrockwell.com/
Krauss, Michael. 1999. “Tort Law, Moral Accountability, and Efficiency: Reflections on the Current Crisis” Markets and Morality, Vol. 2, No. 1, Spring; http://www.acton.org/publicat/
Krecke, Elisabeth. 1996. “Law and the Market Order: An Austrian Critique of the Economic Analysis of Law,” Journal des Economistes et des Etudes Humaines 7(1), March, pp.19-37; Commentaries on Law&Economics, 1997 Yearbook, ed., Robert W. McGee, pp.86-109.
Lewin, Peter. 1982. “Pollution Externalities: Social Cost and Strict Liability.” Cato Journal, vol. 2, no. 1, Spring, pp. 205-229.
North, Gary. 1990. Tools of Dominion: The Case Laws of Exodus, Tyler, TX: Institute for Christian Economics.
North, Gary. 1992. The Coase Theorem, Tyler, TX: The Institute for Christian Economics
North, Gary. 2002. “Undermining Property Rights: Coase and Becker,” The Journal of Libertarian Studies: An Interdisciplinary Review, Vol. 16, No. 4, Fall, pp. 75-100; http://www.mises.org/journals/
Rothbard, Murray N. 1982. “Law, Property Rights, and Air Pollution,” Cato Journal, Vol. 2, No. 1, Spring; reprinted in Economics and the Environment: A Reconciliation, Walter E. Block , ed., Vancouver: The Fraser Institute, 1990, pp. 233-279. http://www.mises.org/rothbard/
Rothbard, Murray N. 1997. “Value Implications of Economic Theory,” Logic of Action I (Cheltenham, UK: Edward Elgar), pp. 255-265.
Stringham, Edward Peter, and Mark White. 2004. “Economic Analysis of Tort Law: Austrian and Kantian Perspectives.” In Law and Economics: Alternative Economic Approaches to Legal and Regulatory Issues, ed. Margaret Oppenheimer and Nicholas Mercuro, 374-392. New York: M.E. Sharpe. https://papers.ssrn.com/sol3/
Stringham, Edward. 2001. “Kaldor-Hicks Efficiency and the Problem of Central Planning,” Quarterly Journal of Austrian Economics, Vol. 4, No. 2, Summer, 41-50; http://www.mises.org/journals/
Terrell, Timothy D. 1999. “Property Rights and Externality: The Ethics of the Austrian School.” Journal of Markets and Morality. Vol. 2, No. 2, Fall; http://www.acton.org/