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Closing the Deal: Principals, Agents, and Subagents in New Zealand Land Reform

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  • Ann L. Brower
  • Philip Meguire
  • Adrian Monks

Abstract

This paper uses bargaining dynamics, administrative politics, and agency theory to examine financial outcomes from New Zealand land reform. Results are inconsistent with payments arising from a bargain in which both the Crown and lessee advocate to their full potential, and are instead consistent with the Crown backing down to lessees’ desires for a generous deal. This back-down stems either from "bureaucratic coping," or from the addition of a bureaucratic middleman between the Crown principal and its negotiator subagent, exacerbating the principal-agent problem.

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File URL: http://le.uwpress.org/cgi/reprint/86/3/467
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Bibliographic Info

Article provided by University of Wisconsin Press in its journal Land Economics.

Volume (Year): 86 (2010)
Issue (Month): 3 ()
Pages:

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Handle: RePEc:uwp:landec:v:86:y:2010:iii:1:p467-492

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Web page: http://le.uwpress.org/

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