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A Note On The Property Rights Theory And The Ex Ante Value Of Information

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  • Vijay Mohan

Abstract

type="main"> This paper examines the ex ante value of information in the property rights model where the possibility exists that an investing agent can be provided with relevant information before investments are undertaken. When contracts are incomplete, from an ex ante perspective, informing the investing agent does not necessarily increase the expected surplus resulting from a relationship between two economic agents. The paper highlights the fact that the second-best nature of the problem that arises from contractual incompleteness can ensure this.

Suggested Citation

  • Vijay Mohan, 2014. "A Note On The Property Rights Theory And The Ex Ante Value Of Information," Bulletin of Economic Research, Wiley Blackwell, vol. 66(2), pages 205-215, April.
    • Handle: RePEc:bla:buecrs:v:66:y:2014:i:2:p:205-215
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    File URL: http://hdl.handle.net/10.1111/j.1467-8586.2011.00412.x
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    References listed on IDEAS

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    1. Hart, Oliver, 1995. "Firms, Contracts, and Financial Structure," OUP Catalogue, Oxford University Press, number 9780198288817.
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    Cited by:

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    2. Karel Zeman, 2018. "Analýza teorie vlastnických práv [Theory of Ownership Rights Analysis]," Politická ekonomie, Prague University of Economics and Business, vol. 2018(1), pages 99-115.

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