Showing archive for: “Corporate Governance”
Section 2 Symposium: Howard Marvel–An Economist’s View
In the wake of Bork and Posner, and Baxter and the Reagan Revolution, a consensus emerged that big could be bad, but the harm that dominant firms could do needed to be demonstrated, not simply assumed in consequence of their sheer size. Moreover, the demonstration required harm to competition. The consensus held through the Clinton ... Section 2 Symposium: Howard Marvel–An Economist’s View
Some Reading
Solow reviews Posner on the financial crisis Dave Hoffman has an excellent post summarizing the consumer bankruptcy debate in empirical legal scholarship in a series of recent papers between Rafael Pardo and a group including Bob Lawless, Angela K. Littwin, Katherine M. Porter, John Pottow, Deborah Thorne, and Elizabeth Warren Why is college tuition rising? ... Some Reading
Professor Carrier’s Response
First of all, I would like to express my deepest gratitude to Josh Wright. Only because of Josh’s creativity and tireless, flawless execution did this blog symposium come about and run so smoothly. I also would like to thank Dennis Crouch, who has generously cross-posted the symposium at PatentlyO. And I am grateful for the ... Professor Carrier’s Response
AIG Isn't Too Big Too Fail
So says Lucian Bebchuk in the WSJ: While AIG has thus far been able to cover derivative losses using government funds, the possibility of large additional losses must be recognized. AIG recently stated that it still has about $1.6 trillion in “notional derivatives exposure.” Suppose, for example, that AIG ends up with losses equal to, ... AIG Isn't Too Big Too Fail
Zywicki on Debt and Bankruptcy
Russ Roberts interviews my George Mason colleague Todd Zywicki here.
The AIG Bailout
A draft of my new paper entitled The AIG Bailout is now up on SSRN. Here’s the abstract: On February 28, 2008, American International Group, Inc. (AIG), the largest insurance company in the United States, announced 2007 earnings of $6.20 billion or $2.39 per share. Its stock closed that day at $50.15 per share. Less ... The AIG Bailout
Zywicki on Judicial Modification of Mortgage Contracts
Earlier this week, I argued that courts should resist the urge to modify what turn out to be improvident commercial contracts. An unintended consequence of rewriting such contracts, I asserted, is that negotiated agreements would become unreliable, which would raise the risks associated with, and thereby discourage, wealth-creating exchanges. And real wealth creation — not ... Zywicki on Judicial Modification of Mortgage Contracts
Sirius-XM Merger Retrospective…
It looks like Sirius-XM is now contemplating bankruptcy (HT: Danny Sokol). There were quite a few critics of the Bush administration’s decision not to challenge the merger. Various antitrust commentators and critics (as well as rivals like the NAB) lined up on the side of enforcement, arguing that the merger would lead to a monopoly ... Sirius-XM Merger Retrospective…
Does this count as socialism? Maybe it’s fascism.
Oh, those monikers always confuse me. So much seems to hang on the right label. When does government intervention in the economy become so extreme that it is appropriate to label it socialist? Here at TOTM we’ve had this discussion before. But these labels are unhelpful–what matters is the economic effect of regulation. Call it ... Does this count as socialism? Maybe it’s fascism.
Pssst Wall Street: Change the Name from Bonuses to "Making Work Pay" Credits
President Obama, widely admired for his willingness and ability to engage in nuanced analysis, painted with pretty broad strokes when he attacked the bonuses recently paid by Wall Street banks: One point I want to make is that all of us are going to have responsibilities to get this economy moving again. And when I ... Pssst Wall Street: Change the Name from Bonuses to "Making Work Pay" Credits
The Law Market
The Law Market, Larry Ribstein’s new and important book with Erin O’Hara looks great and is available here from Oxford University Press. The book description from the website sets the stage: Today, a California resident can incorporate her shipping business in Delaware, register her ships in Panama, hire her employees from Hong Kong, place her ... The Law Market
Fool me once, shame on…shame on you. Fool me – you can’t get fooled again.
I’d like to share a quote on banking industry regulation: “To restrain private people, it may be said, from receiving in payment the promissory notes of a banker for any sum, whether great or small, when they themselves are willing to receive them; or, to restrain a banker from issuing such notes, when all his ... Fool me once, shame on…shame on you. Fool me – you can’t get fooled again.
