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The Economics Group, LLC
The Economics Group, LLC is an experienced and highly credible forensic economic consulting firm. Throughout 25 years of consulting, our goal has been to provide credible economic analysis, high quality reports, expert testimony, and critiques for clients that retain us for their litigation needs. We provide services to both plaintiff and defense attorneys using consistent methodology in evaluating economic damages.
Services include: preparation of reports and calculation of the present value of damages in wrongful death, severe injury, case of employment harassment, age discrimination, wrongful termination, medical malpractice, and life care plan future costs.
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Practice Areas
Dr. Lierman brings expertise, in-depth knowledge of economic theory and practical, down-to-earth application of economic theory to torts such as, but not limited to, the following:
Calculating the value of economic damages in a wrongful death matter requires establishing a base level of actual earnings such as those reported on W-2 statements. If the decedent was enrolled in school and not yet in the labor market, a base earnings capacity in an occupation may be established from other sources of information. A complete wrongful death analysis includes other important data such as wage growth rates, the value of the employer provided portion of benefits for employees, personal consumption deductions for the decedent, and the value of household services provided by the decedent while they were alive.
Personal injury cases are multi-faceted. Severe injury can result in traumatic brain injury, permanent total disability, and permanent partial disability. Such classifications will impact the magnitude of economic damages. Depending upon the severity of injury and post-injury alternative occupations, a personal injury case could have one economic loss result up to several economic loss outcomes. Each scenario will need to consider wage growth rates, fringe benefits, and possible household services. It is often overlooked that the partner of the injured individual may need to reduce their work hours in order to remain at home to help care for the injured person. In some cases, we work with information from vocational occupational experts and life care planners.
Employment termination cases arise for many reasons: age discrimination, racial discrimination, sexual harassment, whistleblower activity, and other unequal treatment of an employee(s) by their workplace employer. We construct back pay and front pay economic losses to reflect the but for earnings of the terminated party. After receiving an award, the individual will likely be in a higher tax bracket. Therefore, we will calculate the appropriate award preserving the value of the total award for damages and not penalizing the party with an additional tax burden.
Accidents involving big-rig vehicles, trains, planes, and helicopters must include thorough multi-damage analysis. We combine relevant pieces of both Personal Injury and Wrongful Death analyses to disentangle and calculate the value of economic damages.
The injuries or death of the owner of the business impacts the on-going economic viability of that business. The loss can appear as reduction of market share in a competitive market, the loss of the value of a unique service offered to the market, and lower profitability due to hiring more employees to perform the work usually completed by the injured owner. We reconstruct a pre-injury model to specify pre-injury metrics of the firm such as variable costs, gross income, market share, and net profitability. We then calculate the diminution of income as a result of the injury or death of the owner.
Many times we are asked to calculate the loss of earnings capacity or loss of worklife earnings potential in the case of a minor or infant when the cause of permanent debilitating injury or death is due to medical mis-diagnosis, inappropriate treatment, or other potential medical negligence. Medical malpractice makes it incumbent upon us to calculate the lifetime earnings of the injured individual. In our analysis, we often use governmental survey data showing the correlation between educational attainment and lifetime earnings.
We often work with life care planners to calculate the total cost of therapeutic modalities that an injured party will need throughout their life due to the intentional or unintentional actions of another party. We use key information from the life care plan which includes the base year costs for each therapeutic modality, the duration and frequency of each modality, and the rate of medical cost inflation for each modality to calculate the present value of the future costs of the plan.
Our firm provides defense services that consists of developing deposition or trial questions for defense counsel to ask the opposing economic expert and/or a written critique of the opposing expert’s economic analysis. This will help determine if reasonable assumptions were made in the report of damages. We can also develop a complete economic loss report or analysis for consideration at trial.
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To learn more about The Economics Group, practice areas, how to retain services or ask any questions, please send me a message.