This chapter examines the linkage between the product market structure and the financial structure of firms in a two-stage Coumot-Nash oligopoly. The firms raise debts in the first stage and then compete in output markets in the second stage. We analyze the effect of the number of firms on their...

Abstract We examine a legal contest in which only one litigant hires a delegate who expends his effort on behalf of the litigant. The delegation contract between the litigant and the delegate is either observable or unobservable. Comparing the equilibrium outcomes of the two legal contests, we...

The high indebtedness of Korean firms is viewed as one of major causes for the financial (currency) crisis of Korea in 1997. This paper examines empirically the political economy underlying the financial structure of Korean firms. Specifically, this paper estimates the size of rents generated in...

Purpose Many governments around the world have strategically privatized their ports. The privatized ports try to maximize profits by setting higher charges for port services and attracting transship cargos. This paper shows that such privatization of ports can be complemented by adjusting the...