The paper analyzes financial innovations by investment banking firms in an environment in which client firms find it costly to switch between banks and can delay their utilization of bank services. An underlying assumption is that financial products, unlike many other innovative products, cannot...

In this paper we examine the value of the right to design the method of sale of corporate assets. The question we ask is simple - who should have the right to decide how the assets of the firm should be sold? We show that this right is a valuable one and its value comes from recognizing the...