We study how corporate taxation interacts with intra-firm incentive conflicts between shareholders and managers and how this interaction impacts the firm’s economic decisions and outcomes. In our model, investment under asymmetric information facilitates entrenchment and rent extraction by the...

Distribution channels in which a common retailer undertakes long-term investments and coordinates the sale of competing products are prevalent in many industries. We study how the allocation of bargaining power among the retailer and the suppliers affects investment incentives, market shares,...

Discussion of the paper “Specific Investment and Negotiated Transfer Pricing in an International Transfer Pricing Model” by Oliver M. Dürr and Robert F. Göx. (see also: 'http://ssrn.com/abstract=2340435' http://ssrn.com/abstract=2340435).In this paper Dürr and Göx study a multinational...

This paper examines the effectiveness of three transfer pricing methodologies for an intangible asset that is developed through bilateral, sequential investment. In general, a royalty-based transfer price that can be renegotiated provides better investment incentives than either a non-negotiable...