We consider an economy where property rights are necessary to ensure sufficient rewards to ex ante investments. Because enforcement of property rights influences the ex post distribution of rents there is room for corruption. We characterize the optimal organization of society and the optimal...

Globalization has been identified by many experts as a new way firms organize their activities and as the emergence of talent as the new stakeholder in the firm. This paper examines the role of trade integration for the changing nature of the corporation. International trade leads to a "war for...

Recent episodes of de-monetization show that private credit can be a substitute for money. This paper studies the conditions of money circulation when non-circulating private debts (IOUs) can be a substitute for money. I first present a simple model of inside money where money circulates if and...

In this work we explore the impact of alternative tax-benefits systems on household welfare. The framework of our analysis is the theory of optimal taxation with the distribution of potential wages replaced by the distribution of household abilities. The latter has been calculated by inversion...