"In every corporation, there is an inherent conflict between the interests of the executives running the company and the shareholders who own it. The corporate governance issues resulting from these conflicts can lead to public and sometimes costly scandals: leaked excessive pay packages, CEOs...

The new public management of the 1980s was based in part on a range of important new insights about the role of transaction and agency costs arising from contractual incompleteness in defining the boundaries of the firm and the governance relationships within it. In this paper, we consider the...

This paper presents a tractable model of a firm that chooses both the scale and timing of its investment. The value-maximizing investment policy is lumpy, and sensitivity analysis shows that greater demand volatility is associated with the firm choosing to invest in larger increments, less...