David Bourget (Western Ontario)
David Chalmers (ANU, NYU)
Rafael De Clercq
Jack Alan Reynolds
Learn more about PhilPapers
Economics and Philosophy 4 (02):243- (1988)
Recent years have seen the flowering of a new literature on the economic nature of firms marked by a concern with their internal organization and contractual characteristics. Related literatures on the principal-agent problem and the theory of financial markets have also contributed to a better understanding of firms as economic institutions. However, the place of the concept of the ownership of the firm is poorly developed in most of this literature, with many writers either ignoring the concept entirely or arguing that it is of no importance. The purpose of the present article is to point out that the concept of ownership of firms is crucial to an understanding of internal governance issues. Most economists implicitly presume that firms must be ownable and saleable if they are to be operated efficiently, and recently this viewpoint has been made more explicit by writers such as Jensen and Fama and Williamson. Their point of view is to some degree at odds with views of the firm as a coalition, which frequently appear in the same literature, and even more fundamentally in conflict with conceptions of the firm as an association or polity within which greater or lesser degrees of democracy in governance may be pursued. The first purpose of this article is to show that the incompletely articulated position of the leading authors on the economics of organization is that the firm is a commodity and must be so for purposes of efficiency.
|Keywords||No keywords specified (fix it)|
|Categories||categorize this paper)|
Setup an account with your affiliations in order to access resources via your University's proxy server
Configure custom proxy (use this if your affiliation does not provide a proxy)
|Through your library|
References found in this work BETA
David P. Ellerman (1985). On the Labor Theory of Property in Essays on Marx: Value, Property and Ideology. Philosophical Forum 16 (4).
Citations of this work BETA
John T. Luhman & David M. Boje (2001). What Is Complexity Science? A Possible Answer From Narrative Research. Emergence 3 (1):158-168.
Louis Putterman (1988). Marx and Disequilibrium. Economics and Philosophy 4 (02):333-.
Similar books and articles
Alejo José G. Sison (2007). Toward a Common Good Theory of the Firm: The Tasubinsa Case. [REVIEW] Journal of Business Ethics 74 (4):471 - 480.
Marc Orlitzky (2001). Does Firm Size Comfound the Relationship Between Corporate Social Performance and Firm Financial Performance? Journal of Business Ethics 33 (2):167 - 180.
Gonzalo A. Chavez, Roy A. Wiggins & Munevver Yolas (2001). The Impact of Membership in the Ethics Officer Association. Journal of Business Ethics 34 (1):39 - 56.
Subodh P. Kulkarni (2000). Environmental Ethics and Information Asymmetry Among Organizational Stakeholders. Journal of Business Ethics 28 (4):215 - 228.
Charles A. Backman, Brian Etienne & Brooke Matthews (2010). Understanding Firm Response to Environmental Issues. Proceedings of the International Association for Business and Society 21:163-174.
Khaled Elsayed (2006). Reexamining the Expected Effect of Available Resources and Firm Size on Firm Environmental Orientation: An Empirical Study of UK Firms. [REVIEW] Journal of Business Ethics 65 (3):297 - 308.
Johanne Grosvold & Stephen Brammer (2009). Country, Industry, and Firm-Level Influences on the Prevalence of Women on Corporate Boards. Proceedings of the International Association for Business and Society 20:261-277.
Amit Saini & Kelly D. Martin (2009). Strategic Risk-Taking Propensity: The Role of Ethical Climate and Marketing Output Control. [REVIEW] Journal of Business Ethics 90 (4):593 - 606.
John Dobson (1996). The Feminine Firm. Business Ethics Quarterly 6 (2):227-232.
Kalle Pajunen (2010). A “Black Box” of Stakeholder Thinking. Journal of Business Ethics 96 (S1):27-32.
Added to index2010-08-10
Total downloads4 ( #280,758 of 1,413,336 )
Recent downloads (6 months)1 ( #154,079 of 1,413,336 )
How can I increase my downloads?