The Economic Impact Group (EIG) was created to support the work on the Draft of a Common Frame of Reference (DCFR) with insights from law and economics. It brings together a number of leading European law and economics scholars. The EIG looked at the main elements of the DCFR, with two questions in (1) from an economic perspective, is it sensible to harmonize private law across Europe on this specific element, and (2) is the solution chosen in the DCFR optimal? This book presents the outcome of the work of the EIG. It deals with key issues, such as the function of contract law, contract formation, good faith, non-discrimination, specific performance versus damages, standard contractual terms, and consumer protection in contract law. The EIG complements the work of the DCFR drafters with insightful and critical assessments, based on well-established law and economics literature.