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The Transaction Cost Theory of the (Multinational) Firm - Reply

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Author Info

  • C. Paul Hallwood

Abstract

The thesis by HALLWOOD [1994] is compactly restated, showing that most of Love's points are either already encompassed, or, are useful extensions of it. Love's idea that production cost differences between firms are necessarily caused by transaction costs is rejected, as differences between firms in the capital valuation of firm-specific knowledge may be due to uncertainty.

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Bibliographic Info

Article provided by Mohr Siebeck, Tübingen in its journal Journal of Institutional and Theoretical Economics.

Volume (Year): 153 (1997)
Issue (Month): 4 (December)
Pages: 683-

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Handle: RePEc:mhr:jinste:urn:sici:0932-4569(199712)153:4_683:ttctot_2.0.tx_2-l

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Web page: http://www.mohr.de/jite

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Postal: Mohr Siebeck GmbH & Co. KG, P.O.Box 2040, 72010 Tübingen, Germany
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Cited by:
  1. Janis Kapler, . "The Theory of the Firm, the Theory of Competition and the Transnational Corporation," Working Papers 6, University of Massachusetts Boston, Economics Department.

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