Information theory and the role of intermediaries in corporate governance

We investigate the connection between corporate governance system configurations and the role of intermediaries in the respective systems from a informational perspective. Building on the economics of information we show
We investigate the connection between corporate governance system configurations and the role of intermediaries in the respective systems from a informational perspective. Building on the economics of information we show that it is meaningful to distinguish between internalisation and externalisation as two fundamentally different ways of dealing with information in corporate governance systems. This lays the groundwork for a description of two types of corporate governance systems, i.e. insider control system and outsider control system, in which we focus on the distinctive role of intermediaries in the production and use of information. It will be argued that internalisation is the prevailing mode of information processing in insider control system while externalisation dominates in outsider control system. We also discuss shortly the interrelations between the prevailing corporate governance system and types of activities or industry structures supported.
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Metadaten
Author:Reinhard H. Schmidt, Marcel Tyrell
URN:urn:nbn:de:hebis:30-17643
Parent Title (English):Universität Frankfurt am Main. Fachbereich Wirtschaftswissenschaften: [Working paper series / Finance and accounting] Working paper series, Finance & Accounting ; No. 142
Series (Serial Number):Working paper series / Johann-Wolfgang-Goethe-Universität Frankfurt am Main, Fachbereich Wirtschaftswissenschaften : Finance & Accounting (142)
Publisher:Univ., Fachbereich Wirtschaftswiss.
Place of publication:Frankfurt am Main
Document Type:Working Paper
Language:English
Year of Completion:2004
Year of first Publication:2004
Publishing Institution:Univ.-Bibliothek Frankfurt am Main
Release Date:2005/10/06
Tag:Corporate Governance / Informationsökonomik / Informationsverbreitung / Finanzintermediär / Theorie
Economics of information; complementarity; corporate governance; financial systems
SWD-Keyword:Corporate Governance; Mittelsperson
Pagenumber:35
HeBIS PPN:188879439
Institutes:Wirtschaftswissenschaften
Dewey Decimal Classification:330 Wirtschaft
JEL-Classification:D23 Organizational Behavior; Transaction Costs; Property Rights
D82 Asymmetric and Private Information
D83 Search; Learning; Information and Knowledge; Communication; Belief
G34 Mergers; Acquisitions; Restructuring; Corporate Governance
L21 Business Objectives of the Firm
P51 Comparative Analysis of Economic Systems
Sammlungen:Universitätspublikationen
Licence (German):License Logo Veröffentlichungsvertrag für Publikationen

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