An initial aim of the article is to specify when path dependency leads to undermining the efficiency of the market. The possibility of lowering the effectiveness of the market allocation mechanism leads towards consideration of reduction of negative consequences of path dependency by government....

An initial aim of the article is to specify when path dependency leads to undermining the efficiency of the market. The possibility of lowering the effectiveness of the market allocation mechanism leads towards consideration of reduction of negative consequences of path dependency by government....

The purpose of this article is to present the path dependence of regulation as an important engine of evolution of executive compensation in the US financial institutions. In particular, the impact of regulations, including tax laws, accounting principles and disclosure requirements of public...