Sök

Working Paper No. 191. Legal Origin and Firm Size Effects Around the World

PublikationWorking paper
Andreas Högberg, Företagandets villkor, Företagsstorlek, Per-Olof Bjuggren, Rättsekonomi, Rättspositivism
pob_ah_legal_191
Ladda ner

Sammanfattning

We propose that the legal origin explanation of differences in financial indicators lacks the ability to satisfyingly describe investment performance and firm size effects. In this paper we investigate the impact of legal origin and firm size on investment performance for 20 111 firms in 58 countries between 2001 and 2010. Anglo Saxon (common law), German, French as well as Scandinavian (civil law) variants of legal systems are covered by the countries included in the study. In addition, we include a category of “old socialist countries”. We find little support for the supposed superiority of common law systems over civil law systems. In fact, the average investor performance is lower in the Anglo Saxon countries than countries with German and Scandinavian legal origin, yet higher than in French legal origin and old socialist countries. Even though limit to firm size is frequently discussed in the theoretical literature there are few empirical studies addressing this issue. In this study we specifically investigate how investment performance is affected by increasing size. We find that irrespective of legal origin a negative impact of firm size appears after a threshold size has been passed.

Bjuggren, P-O. & Högberg, A. (2012). Legal Origin and Firm Size Effects Around the World. Ratio Working Paper No. 191.


Liknande innehåll

The openness of open innovation in ecosystems
Artikel (med peer review)Publikation
Öberg, C., & Alexander, A.
Publiceringsår

2019

Sammanfattning

Open innovation has rendered increased interest both in practice and research, and has expanded from dyadic transfers of ideas, to ecosystem levels. Knowledge is at the heart of open innovation, and this paper describes and discusses knowledge-transfer linkages for open innovation. It does so based on a literature review. The paper links together open innovation research with general management research to categorise and discuss linkages among parties in terms of their openness and how they relate to knowledge management. Conclusions indicate that openness needs to be considered in different dimensions that also links to different knowledge management outcomes. The paper’s contribution consists of how it connects open innovation research to the general management literature, and how it builds a practical understanding of how linkages between firms can be categorised to aid firms to consider which mechanisms they may choose and why.

A Regulation and Transaction Cost Perspective on the Design of Corporate Law
Artikel (med peer review)Publikation
Bjuggren, P-O. & Almlöf, H.
Publiceringsår

2019

Sammanfattning

For the corporate business model to be successful, it is important to align the interests of those who control and finance the firm. Corporate law has here an important task to fulfill. It offers a legal framework that can facilitate parties to conclude mutually preferable agreements at low transaction costs. The purpose of this paper is to show how to design corporate law to fulfill this task and apply this knowledge to a Swedish case. A two-dimension model that simultaneously considers both the regulation intensity and the level of default of corporate law is presented. The earlier literature treats these dimensions separately. By adding a transaction cost perspective to our model, we assess different regulatory techniques and examine how the Swedish legislation can be amended to help corporations by offering a standard contract that lowers the transaction costs of contracting. This can be achieved if default rules or standards of opt-out character are combined with other regulatory techniques with lower transaction costs such as opt-in alternatives and menus. We also show how our model can be used in other studies as a tool to analyze the design of legal rules.

Visa fler

Ratio är ett fristående forskningsinstitut som forskar om hur företagandets villkor kan utvecklas och förbättras.

Sveavägen 59 4trp

Box 3203

103 64 Stockholm

Bankgiro: 512-6578