The Canadian banking system experienced a prolonged period of stability prior to the introduction of deposit insurance in 1967. Documenting the reasons for this stability provides important evidence in the debate over the impact of mandatory flat-rate deposit insurance. In this paper we use new...

Efficient contracts set incentives through the assignment of rights and profit shares. Although efficient contracts have been used to explain the nature of the firm, the use of contractual rights in specific business contracts is relatively unexplored. The authors analyze contractual rights in...

In certain types of industries contracts for sales agents include both commission payments for sales and clawbacks of these payments if existing clients are not retained. This paper provides a model that shows that contracts with these features arise in equilibrium in environments having: i)...

Whatever the statutory differences or language differences in Guidelines between Canada and the US the application of competition rules and procedures is remarkably similar in the two countries. Recent adjustments to the role of efficiencies in merger analysis in the two countries reveal a...

In certain industries, sales agent contracts include provisions for sales commissions and clawbacks of commissions if clients are not retained. We show that contracts with these features arise in environments having up-front selling costs recouped from ongoing sales; heterogeneous customers;...