Search Results - subject:"Incomplete contracts"

Partial Privatization and Incomplete Contracts: The Proper Scope of Government Reconsidered

Schmitz, Patrick W. - Volkswirtschaftliche Fakultät, … - 2000

In this paper it is argued that privatization is not the only alternative to public ownership. Adopting the incomplete contract approach, it is shown that partial privatization may well be the optimal ownership structure. While in the standard incomplete contract model joint ownership is usually...

Persistent link: https://www.econbiz.de/10005790035

Ownership Structure in Agrifood Chains

Hendrikse, G.W.J.; Bijman, W.J.J. - Erasmus Research Institute of Management (ERIM), ERIM … - 2000

This article analyses the impact of ownership structure on investments in a three-party supply chain from an incomplete contracting perspective. Circumstances are determined in which a marketing cooperative is the unique first-best ownership structure.

Persistent link: https://www.econbiz.de/10005795627

Bounded Rationality and Incomplete Contracts

Anderlini, Luca; Felli, Leonardo - Suntory and Toyota International Centres for Economics … - 2000

This paper explores the link between boundedly rational behaviour and incomplete contracts. The bounded rationality of … show that, by itself, the algorithmic nature of contracts is not enough to generate genuinely incomplete contracts in …) class of complexity measures and in this framework we show that incomplete contracts obtain in equilibrium. We also …

Persistent link: https://www.econbiz.de/10005797380

Marketing co-operatives

Hendrikse, G.W.J.; Veerman, C.P. - Erasmus Research Institute of Management (ERIM), ERIM … - 2000

Marketing co-operatives (MCs) are analysed from an incomplete contracting perspective. The requirement of the domination of control by the members of a MC is a threat to the survival of a MC in markets where the level of asset specificity at the processing stage of production is increasing....

Persistent link: https://www.econbiz.de/10005288623

On the foundations of the property rights theory of the firm : cooperative investments and message-dependent contracts

Roider, Andreas - 2000 - This version: October 2000

The property-rights theory assumes that trade is non-contractible ex-ante and focusses exclusively on the allocation of property-rights. We derive foundations for this focus on property-rights by identifying scenarios where only one of the simple ownership structures is optimal even though trade...

Persistent link: https://www.econbiz.de/10011539180

Self-correcting mechanisms in public procurement : why award and contract should be separated

Bös, Dieter; Kolmar, Martin - 2000

In public procurement a temporal separation of award and actual contracting can frequently be observed. In this paper we give an explanation for this institutional setting. For incomplete procurement contracts we show that such a separation may increase efficiency. We show that efficiency can be...

Persistent link: https://www.econbiz.de/10011539673

Regulation of Europe's network industries : the perspective of the new economic theory of federalism

Bickenbach, Frank - 2000

The paper starts with a description of major reforms of EU policy in the network industries. Based on the normative economics of regulation, it then points out generic information and transaction cost problems of regulatory policy making. An appropriate allocation of regulatory competencies may...

Persistent link: https://www.econbiz.de/10011491086

Inefficient R&D in Public Procurement: Negative Consequences of a Separation between Award and Actual Contract

Bös, Dieter - 1999

In public procur ement a temporal separation between award and actual contract allows private entrepreneurs who did not get the award to sue to become contractor. Hence, not only the award-winning entrepreneur, but also the losers will engage in relationship-specific investments. Unfortunately,...

Persistent link: https://www.econbiz.de/10010314907

Convertible Securities and Venture Capital Finance

Schmidt, Klaus - 1999

This paper offers a new explanation for the prevalent use of convertible securities in venture capital finance. Convertible securities can be used to endogenously allocate cash flow rights as a function of the realized quality of the project. This property can be used to mitigate the double...

Persistent link: https://www.econbiz.de/10010314933

The new institutional economics of antitrust and regulation

Bickenbach, Frank; Kumkar, Lars; Soltwedel, Rüdiger - 1999

Hybrid governance structures between markets and hierarchies in many industries, e.g., in energy and telecommunications, challenge antitrust and regulation policy. The paper focuses on the theoretical and methodological basis provided by the New Institutional Economics (NIE) for analyzing the...

Persistent link: https://www.econbiz.de/10010283001