Publications

This paper is concerned with ownership organization in the process of industrial growth and transformation. It stresses the difficulties of changing an established and successful pattern of behavior.…

When firms possess unique R & D assets such as ideas or particular researchers, and there are aggregate increasing returns to scale in R & D, then there can be several Nash equilibria involvin…

Bounded rationality provides a fundamental economic explanation for non-rational modes of behavior. These non-rational modes underlie both the erratic perturbations of entrepreneurship and the systema…

This paper examines the impact of financial market imperfections on long-term productivity growth. It focuses on failures in markets for the sale of equity securities and hence on the failure of marke…

After the breakdown of the fixed exchange rate system in the early 1970 the debate about the appropriate measurement and management of exchange rate risk has been nearly continuous. Increased turbulen…

Presented at IUI’s 50th Anniversary Symposium, November 15–17, 1989.

Presented at IUI’s 50th Anniversary Symposium, November 15–17, 1989.

Results from empirical studies of firm behavior are synthesized into, a theory of the firm as a competent team. I demonstrate the existence of a tacit organizational competence exercising a leverage o…

This paper presents some analyses of what would be the outcome of a price formation process in the presence of information costs. First, we examine the equilibria which obtain in search markets where…

In a world with multinational companies (MNC's) changes such as those implied by the realization of EC's internal market will affect the locational choice made by geographically mobile MNC's. The reas…

This paper shows that plant and firm size in manufacturing, and especially in engineering industry, in several Western industrial countries has declined since the early 1970s. Two hypotheses explainin…

This paper concerns the design of a trading mechanism for a group of traders when their valuations of the good are private information and they bargain over who shall consume more than his initial end…

The multinational firm (MNF) is introduced as the intersection between trade theory and the theory of the firm. I show that economies of scale associated with various knowledge inputs have made it pos…

The present paper has two aims. The first one concerns primarily an issue of method. I set up and analyse an explicitly stochastic model of the optimal behaviour of a firm, which recruits from a searc…

The present study is a theoretical and empirical investigation into the aggregate wage dynamics of Swedish manufacturing. It contains three essential results: a rigorous search theoretical model of t…

Economic growth in the very long run is described by a multiple-phase, dynamic process with potentially complex dynamics during transitions between regimes. Technology is assumed to rest on a manageri…

Experiments, where prospective participants are randomly assigned into experimental and control groups, are often regarded as the ideal approach to evaluation of manpower policies. This examination sh…

Professor James Buchanan received the Prize in Economic Science in Memory of Alfred Nobel in 1986. As part of the established tradition IUI and the Federation of Swedish Industries invited him back to…

Government subsidized industrial R & D stands for a large and increasing segment of the total R & D conducted. Yet very little is known about the effectiveness of such subsidies. This paper su…

An "incentive subsidy" policy for subsidizing private R & D is proposed that can be more efficient, from a social point of view, than subsidy policies in common use such as a "normal" subsidy poli…

Hedging transaction and translation exposures to exchange rate changes may increase the economic exposure of the firm and reduce the information value of firms' quarterly statements. In this paper hed…

We modify the basic self-selection model for the effects of education, training, unions, and other activities on wages, by including "heterogeneity of rewards" to the activity -i.e., differences acros…

This paper raises several issues concerning productivity analysis. An attempt is made to demonstrate the usefulness of a micro-based approach to productivity analysis which challenges some basic assum…