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The Governance of Exchanges: Members Co-operatives Versus Outside Ownership

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Author Info
Oliver Hart
John Moore

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Abstract

The paper compares co-operative governance structure to outside ownership. The distinction between the two lies in who has residual rights of control. It is found that a co-operative becomes relatively less efficient as the environment becomes more competitive, and the interests of members become more skewed. These ideas are applied to the governance of exchanges.

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Publisher Info
Paper provided by Suntory and Toyota International Centres for Economics and Related Disciplines, LSE in its series STICERD - Theoretical Economics Paper Series with number 292.

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Date of creation: 1996
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Handle: RePEc:cep:stitep:292

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This page was last updated on 2009-11-22.


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