Law and Economics of Sustainability Due Diligence: Policy Design Applications for Transnational Externality ProblemsPhD student: Mrs Dr S. Ciacchi
Promotors: Mrs Prof F. Weber, S. Oded
Duration: 1/9/2022 - 31/8/2026
PhD defence: Rotterdam, 17/7/2026
Abstract:
The project explores sustainability due diligence (SDD) as a policy instrument for the regulation of the extraterritorial human rights and environmental impacts of global value chains (GVCs). The project focuses on the application of SDD as a binding obligation that aims to capture and operationalise the governance and power dynamics of GVCs for harm reduction in high-risk areas. The research examines the normative foundations of SDD as well as its core operational principles and investigates how the incentive structures that shape GVC relationships generate challenges and opportunities for SDD compliance. Against this backdrop, the project draws conclusions and makes considerations regarding the optimal design of binding SDD law. The project concludes with a critical evaluation of the European Union's SDD policy, articulated in a law and economics analysis of the Corporate Sustainability Due Diligence Directive.