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The Impact of Incomplete Contracts on Economics$
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Philippe Aghion, Mathias Dewatripont, Patrick Legros, and Luigi Zingales

Print publication date: 2016

Print ISBN-13: 9780199826223

Published to Oxford Scholarship Online: January 2016

DOI: 10.1093/acprof:oso/9780199826223.001.0001

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Oliver Hart’s Contributions to the Understanding of Strategic Alliances and Technology Licensing

Oliver Hart’s Contributions to the Understanding of Strategic Alliances and Technology Licensing

Chapter:
(p.151) 15 Oliver Hart’s Contributions to the Understanding of Strategic Alliances and Technology Licensing
Source:
The Impact of Incomplete Contracts on Economics
Author(s):

Josh Lerner

Publisher:
Oxford University Press
DOI:10.1093/acprof:oso/9780199826223.003.0015

The chapter notes that the incomplete contracting framework is especially relevant for analyzing strategic alliances. It reviews the empirical work and case studies, and finds that although many findings are consistent with existing theoretical analysis, it brings forth new issues that are not yet fully understood, in particular on how financial positions influence the terms of trade among partners and alsoon whether contracting serves a signal to the market.

Keywords:   strategic alliances, case studies, finance, signal

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