This paper examines the property rights theory of the firm when a manager’s relationship-specific investment can be partially appropriated by the owner of an asset when cooperation breaks down. For example ownership typically confers the right to continue with a project even should the production team dissolve. The investments of non-owners may then be devalued, but are seldom wholly loss to th...

We document evidence of corruption in Chinese state asset sales. These sales involved stakes in partially privatized firms, providing a benchmark—the price of publicly traded shares—to measure underpricing. Underpricing is correlated with deal attributes associated with misgovernance and corruption. Sales by “disguised” owners that misrepresent their state ownership to elude regulatory scrutiny...

The paper provides a framework for addressing the question of when transactions should be carried out within the firm and when through the market. Following Grossman and Hart (1986), we identify a firm with the assets which its owners control: ownership confers the right to decide how the assets are to be used in events unspecified in an initial contract. We study how changes in ownership affec...

The aims of this study are: To find out how the influence CSRD, institutional ownership, leverage and asset growth on firm value in construction, property real estate companies listed Indonesian stock exchange. This research design includes type associative research, namely that seeks or relationship two more variables. Based data, is classified as quantitative uses numbers. Simultaneously simu...

This article provides new evidence on the determinants of individual trade-policy preferences using individual-level survey data for the United States. There are two main empirical results. First, we find that factor type dominates industry of employment in explaining support for trade barriers. Second, we find that home ownership also matters for individuals’ trade-policy preferences. Independ...

A simple auction-theoretic framework is used to examine symmetric litigation environments where the legal ownership of a disputed asset is unknown by the court. The court observes only the quality of the case presented by each party, and awards the asset to the party presenting the best case. Rational litigants influence the quality of their cases by hiring skillful attorneys. This framework pe...

We present a theory concerning the realization of capital gains where ownership and control are linked as in Holmes and Schmitz (1995). The model developed is a version of a Lucas-tree economy in which the productivity of a technology depends on the ownership of the technology. The existence and uniqueness of equilibrium follow from the Contraction Mapping Theorem. The theory implies that imped...

Digital asset management is one of promising applications of blockchain technology. Blockchains could provide principal disintermediation between digital asset issuers, application developers and consumers and decouple tasks related to asset management, such as issuance, transaction processing, securing users’ funds and establishing users’ identities. This paper outlines basic components of blo...

Long-term Contracts. We now briefly show that the use of a long-term contract cannot improve the outcome. Suppose that Alice and Bob retain individual asset ownership at date 0, but commit to a contract that specifies the price at which they transact at date 4. If the contract is only structured as an option without commitment, then it has no effect at all. However, if the contract is binding, ...

We model alternative institutional arrangements for building and managing facilities for provision of public services, including the use of the Private Finance Initiative (PFI), by exploring the effects on innovative investment activity by providers. The desirability of bundling the building and management operations is analyzed, and it is considered whether it is optimal to allocate ownership ...