Interpersonal authority in a theory of the firm

American Economic Review

Volumn 100, Issue 1, 2010, Pages 466-490

  Van Den Steen, Eric ^a  

^a HARVARD BUSINESS SCHOOL   (United States)

Author keywords

[No Author keywords available]

Indexed keywords

EID: 77952402887     PISSN: 00028282     EISSN: None     Source Type: Journal    
DOI: 10.1257/aer.100.1.466     Document Type: Article

References (65)

1. Aghion, Philippe, and Patrick Bolton. 1992. "An Incomplete Contracts Approach to Financial Contracting." Review of Economic Studies, 59(3): 473-94.
2. Aghion, Philippe, and Jean Tirole. 1997. "Formal and Real Authority in Organizations." Journal of Political Economy, 105(1): 1-29.
3. Alchian, Armen A., and Harold Demsetz. 1972. "Production, Information Costs, and Economic Organization." American Economic Review, 62(5): 777-95.
4. Arrow, Kenneth J. 1964. "The Role of Securities in the Optimal Allocation of Risk-bearing." Review of Economic Studies, 31(2): 91-96.
5. Arrow, Kenneth J. 1974. The Limits of Organization. New York: W. W. Norton & Co.
6. Athey, Susan, and John Roberts. 2001. "Organizational Design: Decision Rights and Incentive Contracts." American Economic Review, 91(2): 200-05.
7. Baker, George, Robert Gibbons, and Kevin J. Murphy. 2002. "Relational Contracts and the Theory of the Firm." Quarterly Journal of Economics, 117(1): 39-84.
8. Baker, George, Robert Gibbons, and Kevin J. Murphy. 2006. "Contracting for Control." Unpublished.
9. Boot, Arnoud W. A., Radhakrishnan Gopalan, and Anjan V. Thakor. 2006. "The Entrepreneur's Choice Between Private and Public Ownership." Journal of Finance, 61(2): 803-36.
10. Brunnermeier, Markus K., and Jonathan A. Parker. 2005. "Optimal Expectations." American Economic Review, 95(4): 1092-1118.
11. Calvo, Guillermo A., and Stanislaw Wellisz. 1979. "Hierarchy, Ability, and Income Distribution." Journal of Political Economy, 87(5): 991-1010.
12. Chen, Joseph, Harrison Hong, and Jeremy C. Stein. 2002. "Breadth of Ownership and Stock Returns." Journal of Financial Economics, 66(2-3): 171-205.
13. Coase, Ronald. 1937. "The Nature of the Firm." Economica, 4(16): 386-405.
14. Coase, Ronald. 1960. "The Problem of Social Cost." Journal of Law and Economics, 3: 1-44.
15. Dessein, Wouter, Luis Garicano, and Robert Gertner. 2006. "Organizing for Synergies." Center for Economic and Policy Research Discussion Paper 6019.
16. Dewatripont, Mathias, and Jean Tirole. 1994. "A Theory of Debt and Equity: Diversity of Securities and Manager-Shareholder Congruence." Quarterly Journal of Economics, 109(4): 1027-54.
17. Donaldson, Gordon, and Jay W. Lorsch. 1983. Decision Making at the Top: The Shaping of Strategic Direction. New York: Basic Books.
18. Gibbons, Robert. 2005. "Four Formal (izable) Theories of the Firm?" Journal of Economic Behavior and Organization, 58(2): 200-45.
19. Grossman, Sanford J., and Oliver D. Hart. 1986. "The Costs and Benefits of Ownership: A Theory of Vertical and Lateral Integration." Journal of Political Economy, 94(4): 691-719.
20. Guiso, Luigi, Paola Sapienza, and Luigi Zingales. 2006. "Does Culture Affect Economic Outcomes?" Journal of Economic Perspectives, 20(2): 23-48.
21. Harrison, Michael, and David M. Kreps. 1978. "Speculative Investor Behavior in a Stock Market with Heterogeneous Expectations." Quarterly Journal of Economics, 92(2): 323-36.
22. Hart, Oliver. 1995. Firms, Contracts, and Financial Structure. Oxford: Oxford University Press.
23. Hart, Oliver, and Bengt Holmström. 2002. "A Theory of Firm Scope." MIT Department of Economics Working Paper 02-42.
24. Hart, Oliver, and John Moore. 1990. "Property Rights and the Nature of the Firm." Journal of Political Economy, 98(6): 1119-58.
25. Hart, Oliver, and John Moore. 2008. "Contracts as Reference Points." Quarterly Journal of Economics, 123(1): 1-48.
26. Hermalin, Benjamin E. 1999. "The Firm as a Noneconomy: Some Comments on Holmström." Journal of Law, Economics, and Organization, 15(1): 103-06.
27. Holmström, Bengt. 1999. "The Firm as a Subeconomy." Journal of Law, Economics, and Organization, 15(1): 74-102.
28. Holmström, Bengt, and Paul Milgrom. 1994. "The Firm as an Incentive System." American Economic Review, 84(4): 972-91.
29. Holmström, Bengt, and John Roberts. 1998. "The Boundaries of the Firm Revisited." Journal of Economic Perspectives, 12(4): 73-94.
30. Hong, Harrison, and Jeremy C. Stein. 2007. "Disagreement and the Stock Market." Journal of Economic Perspectives, 21(2): 109-28.
31. Hymer, Stephen. 1976. The International Operations of National Firms: A Study of Direct Foreign Investment. Cambridge, MA: MIT Press.
32. Klein, Benjamin, Robert G. Crawford, and Armen A. Alchian. 1978. "Vertical Integration, Appropriable Rents, and the Competitive Contracting Process." Journal of Law and Economics, 21(2): 297-326.
33. Knight, Frank. 1921. Risk, Uncertainty and Profit. Chicago: University of Chicago Press.
34. Landier, Augustin, and David Thesmar. 2009. "Financial Contracting with Optimistic Entrepreneurs." Review of Financial Studies, 22(1): 117-50.
35. Levin, Jonathan. 2003. "Relational Incentive Contracts." American Economic Review, 93(3): 835-57.
36. Levin, Jonathan, and Steven Tadelis. Forthcoming. "Contracting for Government Services: Theory and Evidence from U.S. Cities." Journal of Industrial Economics.
37. Marino, Anthony, John Matsusaka, and Jan Zábojník. Forthcoming. "Disobedience and Authority." Journal of Law, Economics, and Organization.
38. Milgrom, Paul, and John Roberts. 1988. "An Economic Approach to Influence Activities in Organizations." American Journal of Sociology, 94: 154-79.
39. Monteverde, Kirk, and David J. Teece. 1982. "Supplier Switching Costs and Vertical Integration in the Automobile Industry." Bell Journal of Economics, 13(1): 206-13.
40. Morris, Stephen. 1994. "Trade with Heterogeneous Prior Beliefs and Asymmetric Information." Econometrica, 62(6): 1327-47.
41. Morris, Stephen. 1995. "The Common Prior Assumption in Economic Theory." Economics and Philosophy, 11(2): 227-53.
42. Morris, Stephen. 1997. "Risk, Uncertainty and Hidden Information." Theory and Decision, 42(3): 235-69.
43. Prendergast, Canice J. 1995. "A Theory of Responsibility in Organizations." Journal of Labor Economics, 13(3): 387-400.
44. Qian, Yingyi. 1994. "Incentives and Loss of Control in an Optimal Hierarchy." Review of Economic Studies, 61(3): 527-44.
45. Rajan, Raghuram G., and Luigi Zingales. 1998. "Power in a Theory of the Firm." Quarterly Journal of Economics, 113(2): 387-432.
46. Roberts, John. 2004. The Modern Firm: Organizational Design for Performance and Growth. Oxford: Oxford University Press.
47. Schein, Edgar H. 1985. Organizational Culture and Leadership. San Francisco: Jossey-Bass Publishers.
48. Scheinkman, Jose A., and Wei Xiong. 2003. "Overconfidence and Speculative Bubbles." Journal of Political Economy, 111(6): 1183-1219.
49. Simon, Herbert. 1947. Administrative Behavior. New York: Free Press.
50. Simon, Herbert. 1951. "A Formal Theory of the Employment Relationship." Econometrica, 19(3): 293-305.
51. Thompson, Peter, and Steven Klepper. 2006. "Intra-Industry Spinoffs." Florida International University Department of Economics Working Paper 0605.
52. Van den Steen, Eric. 2004. "Rational Overoptimism (and Other Biases)." American Economic Review, 94(4): 1141-51.
53. Van den Steen, Eric. 2007a. "The Cost of Incentives under Disagreement: Too Motivated?" Unpublished.
54. Van den Steen, Eric. 2007b. "An Economic Theory of the Firm as a Legal Entity." Unpublished.
55. Van den Steen, Eric. 2007c. "Interpersonal Authority in a Theory of the Firm." MIT Sloan Research Paper 4667-07.
56. Van den Steen, Eric. 2008. "Disagreement versus the Coase Theorem." Unpublished.
57. Van den Steen, Eric. Forthcoming. "Disagreement and the Allocation of Control." Journal of Law, Economics, and Organization.
58. Varian, Hal R. 1989. "Differences of Opinion in Financial Markets." In Financial Risk: Theory, Evidence and Implications, ed. C. C. Stone, 3-37. Norwell, MA: Kluwer Academic.
59. Wernerfelt, Birger. 1997. "On the Nature and Scope of the Firm: An Adjustment-Cost Theory." Journal of Business, 70(4): 489-514.
60. Wernerfelt, Birger. 2002. "Why Should the Boss Own the Assets?" Journal of Economics and Management Strategy, 11(3): 473-85.
61. Whinston, Michael D. 2003. "On the Transaction Cost Determinants of Vertical Integration." Journal of Law, Economics, and Organization, 19(1): 1-23.
62. Williamson, Oliver. 1975. Markets and Hierarchies: Analysis and Antitrust Implications. New York: Free Press.
63. Williamson, Oliver. 1985. The Economic Institutions of Capitalism. New York: Free Press.
64. Wilson, Robert. 1968. "The Theory of Syndicates." Econometrica, 36(1): 119-32.
65. Yildiz, Muhamet. 2003. "Bargaining without a Common Prior: An Immediate Agreement Theorem." Econometrica, 71(3): 793-811.