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E-grāmata: Social Norms and the Theory of the Firm: A Foundational Approach

(Georgia State University)
  • Formāts: EPUB+DRM
  • Izdošanas datums: 18-Oct-2018
  • Izdevniecība: Cambridge University Press
  • Valoda: eng
  • ISBN-13: 9781108530194
  • Formāts - EPUB+DRM
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  • Formāts: EPUB+DRM
  • Izdošanas datums: 18-Oct-2018
  • Izdevniecība: Cambridge University Press
  • Valoda: eng
  • ISBN-13: 9781108530194

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In his new book, Stevens draws on historical context and a growing body of research to demonstrate the importance of social norms to firms and markets. The book provides a comprehensive roadmap to help researchers, practitioners, and policy-makers incorporate social norms to improve the theory of the firm.

For decades, the economic theory of the firm referred to as agency theory has dominated business research and education in the United States. Although agency theory has been influential in accounting, finance, and managerial economics, it lacks informal and nonfinancial controls. Douglas E. Stevens resolves to enhance this theory through the incorporation of social norms. Drawing on historical context related to the firm, the theory of the firm, and social norm theory related to the firm, he demonstrates the importance of social norms in the formation and development of free-market capitalism and the firm. He also describes the latest theoretical, experimental, and archival evidence to exhibit the growing body of research that incorporates social norms into the theory of the firm. These foundations enable Stevens to create a comprehensive roadmap of agency theory that will have strong implications for practice and public policy.

Recenzijas

' Stevens makes a persuasive case that social norms are an important determinant of how firms are organized, and how individuals working within them behave.' Paul E. Fischer, University of Pennsylvania   'Scarcity of attention to social norms became increasingly difficult to sustain after the recent decades' events, raising uncomfortable questions about the prevailing theories of business, economics, organizations, and finance. Beyond sociology and organization behavior, awareness of the importance of social norms in accounting and law has grown rapidly. Stevens' book will help meet the hunger for new ideas in theory of the firm.' Shyam Sunder, Yale University, Connecticut

Papildus informācija

Demonstrates the importance of social norms to firms and markets through historical context and theoretical and empirical evidence.
Preface ix
Acknowledgments xiv
1 The Importance of Behavioral Assumptions in Economic Theory
1(20)
Introduction
1(1)
Friedman's Methodology of Positive Economics
2(6)
An Alternative Interpretation of Friedman's Position on Behavioral Assumptions
8(4)
A Cost/Benefit Analysis to Incorporating Social Norms
12(4)
A Foundational Approach
16(5)
PART I THE FOUNDATION
2 A History of the Firm That Incorporates Social Norms
21(24)
Introduction
21(2)
The Birth of Free-Market Capitalism in Italy and the Netherlands
23(3)
Free-Market Capitalism Spreads to Britain and the United States
26(6)
Industrial Revolutions in Britain and the United States
32(2)
A New Opportunism Culture Emerges
34(6)
The Opportunism Culture Nearly Takes Down the Financial System
40(5)
3 The Theory of the Firm
45(29)
Introduction
45(1)
The Founding of the University-Based Business School
46(7)
The Decay and Abandonment of Professional Norms
53(3)
The Increasing Influence of Neoclassical Theory and the Chicago School
56(8)
Insights on the Firm from Adam Smith
64(5)
Neoclassical Theories of the Firm
69(5)
4 Social Norm Theory Related to the Firm
74(31)
Introduction
74(1)
The Behavioral Assumptions of Homo Economicus
75(4)
The Assumptions and Implications of Agency Theory
79(5)
The Presence of Social Norms in The Wealth of Nations
84(7)
Social Norm Theory in The Theory of Moral Sentiments
91(6)
Recent Social Norm Theory Related to the Firm
97(8)
PART II THE EVIDENCE
5 Formal Models Incorporating Social Norms into the Theory of the Firm
105(24)
Introduction
105(1)
Benefits of Mathematical Modeling
106(4)
Essential Features of Principal-Agent Theory
110(5)
Challenges to Modeling Social Norms in Principal-Agent Theory
115(3)
A Principal-Agent Model with a Promise-Keeping Norm
118(6)
Other Formal Models Incorporating Social Norms into the Theory of the Firm
124(5)
6 Emerging Evidence of Social Norms in Experimental Research
129(32)
Introduction
129(1)
Benefits of Experimental Research
130(4)
The Development of an Experimental Methodology
134(6)
Findings from Experimental Studies of Neoclassical Market Theory
140(4)
Findings from Experimental Tests of Game Theory
144(5)
Findings from Experimental Tests of Principal-Agent Theory
149(4)
Findings from Experimental Studies of Participative Budgeting
153(8)
7 Emerging Evidence of Social Norms in Archival Research
161(25)
Introduction
161(1)
Theory, Research Paradigms, and Paradigm Shifts
162(4)
A Paradigm Shift at the University of Chicago
166(3)
Anomalies and the New Focus on Market Inefficiency
169(2)
Findings Regarding Individual Processing and Trading Volume
171(5)
Findings Regarding the Effects of Financial Incentives
176(4)
Findings Regarding Culture and Social Norms
180(6)
8 Conclusion: "Where do we go from here?"
186(8)
References 194(17)
Index 211
Douglas E. Stevens studied experimental economics at Indiana University while completing his Ph.D. in accounting. His experimental and theoretical research demonstrates how incorporating social norms enhances the theory of the firm. His research has been published in leading academic journals including The Accounting Review; Contemporary Accounting Research; Accounting, Organizations and Society; Experimental Economics; the Journal of Business Ethics; the Journal of Management Accounting Research; and Behavioral Research in Accounting.