The most striking difference in corporate-governance arrangements between rich andpoor countries is that the latter rely much more heavily on the dynastic family firm,where ownership and control are passed on from one generation to the other. We arguethat if the heir to the family firm has no...

Dynastic management is the inter-generational transmission of control over assets that is typical of family-owned firms. It is pervasive around the World, but especially in developing countries. We argue that dynastic management is a potential source of inefficiency: if the heir to the family...

Dynastic management is the inter-generational transmission of control over assets that is typical of family-owned firms. It is pervasive around the World, but especially in developing countries. We argue that dynastic management is a potential source of inefficiency: if the heir to the family...