Fifth
Annual Conference
Institutions
and Governance

PROGRAM
Berkeley,
CA
September
13-15, 2001
Welcoming
Remarks: Paul Gray (Executive Vice Chancellor and
Provost, University of California at Berkeley)
Chair:
Oliver Williamson (University of California at Berkeley), President of
ISNIE
Keynote speaker: Vernon Smith (University of Arizona)
Panel I-A: REGULATORY
ISSUES IN A WORLD OF INNOVATION
Independent Regulation and Telecommunications Performance in Developing Countries
Audrey Baudrier
(University of Paris-Pantheon-Sorbonne)
John M. de Figueiredo (Massachusetts Institute of
Technology)
Kenneth D.
Gartrell, Mark A. Sarro, and Jürgen R.
Weiss (all of The Brattle Group)
The Option to
Expand: The Use of Multi-unit Opportunities to Support Self-Enforcing Agreements in
Franchise Relationships
Janet E.L.
Bercovitz (Duke University)
Organic
Products in Brazil: Institutional Environment and Competition Patterns
Elizabeth
M.M.Q. Farina and Christiane Leles Rezende (both of University of Sao Paulo-Brazil)
Quality Assurance Mechanisms in the Agrifood Sector: The
Meat Sector Case
Manuel
González Díaz, Marta Fernández Barcala, (both
of University of Oviedo-Spain) and Benito
Arruńada (University
of Pompeu-Fabra)
Armelle Mazé (University of Paris-Pantheon-Sorbonne)
Trust and
Political Economy: Institutions and the Sources of Inter-Firm Cooperation
Henry Farrell (Max-Planck Project Group on Common Goods-Germany)
Experiments on Trust and Bargaining in Bulgaria: The Effects of
Institutions and Culture
Kenneth Koford (University of Delaware)
An Economic
Model of Moral Motivation
Kjell
Arne Brekke (University of Oslo), Snorre Kverndokk (Ragnar Frisch Center for Economic Research) and Karine Nyborg (Statistics Norway)
Rationality
and Cooperation between Firms: Testing Habitual Behavior in Greek Industries
Michel S.
Zouboulakis and John
Kamarianos (both of University of Thessaly-Greece)
Christian Bessy
(University of Paris) and Guillemette de Larquier (University
of Paris-Nanterre)
Firms
Motivation to Invest in Training: The Role of Dependency, Hostages, and Cooperation
Irmgard Nübler
(Free University of Berlin)
Corporate
Culture and Exploitation
Ekkehart
Schlicht (University of Munich)
A Stakeholder
Theory Approach to Predicting Counter-Productive Work Behavior
Brenda C. Sun (London School of Economics)
Chair: Paul Joskow
(MIT; vice-president of ISNIE)
Session
Coordinator: Mary M.
Shirley (The World Bank)
Discussants: Guy Holburn
(University of California at Berkeley) and
Bernardo Mueller (University of Brazil)
Power Utility
Restructuring in East European Transition Countries: An Institutional Interpretation
Christian von
Hirschhausen and Petra Opitz (both of the German Institute for Economic Research)
Telecommunications Privatization in Developing Countries: The Real effects of Exclusivity Period
Scott Wallsten (Stanford University)
Witold Jerzy
Henisz (University of Pennsylvania) and Bennet A. Zelner (Georgetown
University)
Chair: Arthur Denzau (Claremont Graduate University)
Discussants: Carl Hampus
Lyttkens (Lund
University) and Dean Williamson (US Department of Justice)
Tax
Britannica: Nineteenth Century Tariffs and British National Income
Sami Dakhlia (University of Alabama) and John Nye (Washington
University in St. Louis)
Banking On
the King: The Evolution of Organizations Dedicated to Tax Collection in Old Regime France
Noel Johnson (Washington University in St. Louis)
Informal Institutional Arrangements and Tax Evasion in Russian
Economy
Vadim Radaev (The State
University Higher School of Economics)
Chair: Jean
Ensminger (California Institute of Technology)
Discussants: William
Humphrey (Washington University in St. Louis) and Vai-Lam
Mui (University of Notre Dame)
Fairness,
Character, and Efficiency in Firms
Robert Cooter (University of California at Berkeley) and Melvin A. Eisenberg (University
of California at Berkeley)
Contractual
Relations: It Takes Both Trust and Lack of Mistrust
Siegwart
Lindenberg (University
of Groningen)
Social
Cognitive Learning and Evolutionary Mechanisms in Institutions
Ulrich Witt (Max-Planck Institute for Research Into Economic Systems)
Chair: Jean-Michel Glachant (University
of Paris - Sceaux)
Discussants: Nicolas
Argyres (Boston University) and Charles Edquist (Linköping University)
Innovation-Led Growth Under Global Competition: A Theoretical Model and Evidence From Japan
Serguey
Braguinsky, Atsushi Ohyama, (both of University of Chicago) and
David C. Rose (University of Missouri)
The Vanishing
Hand: The Modular Revolution in American Business
Richard N.
Langlois (University of Connecticut)
Decio
Zylbersztajn (University of Sao Paulo) and
Marcelo Miele (Secretary of Agriculture- State of Rio Grande do Sul)
Chair: Siegwart
Lindenberg (University of Groningen)
Session
Organizer: Victor Nee (Cornell University)
Social
Networks, Trust, Power, and Institutions in the Economy
Mark
Granovetter (Stanford University)
Networks of
Competition: Institutionalized Job-Matching in the Japanese Economy
Mary C. Brinton
(Cornell
University)
Organizational
Dynamics of Institutional Change: Market Transition and Organizational Forms
Victor Nee (Cornell University)
Something
More Is Needed Than Good Institutions For A Healthy Capitalism: On The Economic Sociology
Of Weber And Schumpeter
Richard
Swedberg (Center for the Advanced Study in the Behavioral
Sciences
Chair
and Session Coordinator: Stephane
Saussier (University of Paris-Pantheon-Sorbonne)
Discussants: Josef Windsperger (University of Vienna) and Steve Tadelis (Stanford
University)
Paulo Furquim
Azevedo and
Vivian Lara dos Santos Silva (both
of Federal University of Săo Carlos-Brazil)
Contracting in the Absence of Specific Investments and Moral Hazard: Understanding the Structure of Owner-Operator Leases in Trucking
Francine
Lafontaine and Scott
E. Masten (both of University of Michigan)
Incomplete
Contract Theory and Contracts Between Firms: A Preliminary Empirical Study
Bruce R. Lyons (University Of East Anglia)
Thierry Pénard
(University de Rennes), Emmanuel Raynaud and Stéphane
Saussier (both of University of Paris)
Chair: Decio
Zylbersztajn (University of Sao Paulo)
Discussants: Ning Wang (University of
Chicago) and Witold
Henisz (University of
Transition:
An Evolutionary-Institutional Perspective
Gérard Roland (University of California at Berkeley)
Joachim Ahrens
and Martin Meurers (both of University of Goettingen)
Institutional
Reform in Transitions Economies: How Far Have They Come?
Beatrice Weder (University
of Basle)
Philip Keefer and Stephen
Knack (both of The World Bank)
Chair: Stephen C. Littlechild (Judge
Institute of Management Studies)
Session
Organizer: Pablo
Spiller (University of California at Berkeley)
Coalitional
Stability and the Gains From Trade Between the Executive and the Legislature in Brazil
Lee
J. Alston (University of Illinois at Urbana-Champaign) and Bernardo
Mueller (University of Brazil)
Reconsidering
Statutory Interpretation and the Appropriations Process
Mathew M.
McCubbins (University of California at San Diego) and Daniel
B. Rodriguez (University of San Diego)
Protecting the
Weak: Why (and When) States Adopt Administrative Procedure Acts
Rui J.P. de Figueiredo Jr. (University of California at Berkeley) and Richard K.
Vanden Bergh (University of Vermont)
Chair
and Session Organizer: Barry
Weingast (Stanford University)
Discussants: Barry
Weingast (Stanford University) and John Nye (Washington University in St. Louis)
The
Nie And Ancient History: The Case Of Ptolemaic Egypt (332 BCE-30 BCE)
J.G. Manning (Stanford University)
The Ancient
Greek Economic Miracle
Ian Morris (Stanford University)
Imaginary
Invasions of Italy: Propaganda, Conscription, and Imperialism, 200-146 B.C.
James M.
Quillin (University of Southern California)
Chair: Guy
Pfefferman (International Finance Corporation)
Discussants: Stephane
Saussier (University of Paris) and Travis Taylor (University of Richmond)
Decentralization
and Cooperation: Organizational Form at General Motors, 1924-1958
Robert Freeland
(Stanford University)
Are Internal
Capital Markets Good for Innovation?
Peter G. Klein (University of Georgia)
Whos
Monitoring the Monitor? Do Outside Directors Protect Shareholders Interests?
Eric Helland (Claremont
McKenna College) and Michael
Sykuta (University of Missouri)
Chair: John Drobak
(School of Law, Washington University in St. Louis)
Discussants: Robert
Cooter (University
of California at Berkeley) and Gregory La Blanc (University of Virginia)
Internet
Regulation: Does Self-Regulation Require an Institutional Framework?
Éric Brousseau
(ATOM, University of Paris-Nanterre)
Sergio G.
Lazzarini, Gary J. Miller, and Todd
R. Zenger (all of Washington University in St. Louis)
Judges and
Institutional Change: An Empirical Case Study
Martin
Schneider (Institute of Labor Law and Industrial Relations in the
EC)
Chair: Michel
Ghertman (HEC, Paris)
Discussants: Lee Benham (Washington University in St. Louis) and Michael Rushton (University of Regina)
The Effects
of Reputation: A Well-Functioning Market Under Quality Uncertainty
Ignace Adant (Free-Lance Researcher in Belgium) and Frederic Gaspart (Center of Research on Economy and Development)
A Theory of Organizations to supersede the Theory of the Firm
Yoram Barzel (University of Washington)
Towards the
Development of an Indicator of Transaction Costs
Christian
Eigen-Zucchi (George Mason University)
Long-term vs.
Short-Term Subcontracting: A Transaction Cost Analysis
Susana
López-Bayón and Manuel González Diaz (both of University of
Oviedo-Spain)
Friday,
September 14
Chair:
Claude Menard (University of Paris-Pantheon- Sorbonne, President-Elect of ISNIE)
Keynote
speaker: Bengt Holmstrom (Massachusetts Institute of
Technology), The
Innovation Imperative and Firm Organization
Chair: John Nye (Washington University in St. Louis)
Session
Organizer: Paul J. Zak
(Claremont Graduate University)
Discussants: Serguey
Braguinsky (The University of Chicago) and David Rose (University of Missouri)
Floating in
Uncertainty: The Vanilla Trade After Liberalization
Margaret Brown (Washington University in St. Louis)
Trust:
Experimental Results from East Africa
Jean Ensminger (California Institute of Technology)
Trust,
Democracy, and Development
Margaret Levi (University of Washington)
Building Trust: Public Policy, Interpersonal Trust, and Economic Development
Stephen Knack
(The World
Bank) and Paul J. Zak (Claremont Graduate University)
Chair: David Teece
(University of California at Berkeley)
Discussants: Bruce Lyons
(University of East Anglia) and Mary
Shirley (The World Bank)
James A.
Doherty (Regulatory Policy Research Center-Oxford)
Californias
Electricity Crisis
Paul L. Joskow (Massachusetts Institute of Technology)
Competitive
Bidding for a Long-term Electricity Distribution Contract
Stephen C.
Littlechild (Judge Institute of Management Studies)
Anne Yvrande (University of Paris-Pantheon- Sorbonne)
Chair: Andrei
Shastitko (Bureau of Economic Analysis, Moscow)
Discussants: David
OBrien (University
of Missouri) and Gérard Roland (University of California at Berkeley)
Markus Hanisch,
Volker Beckmann,
Silke Boger (all of
Humboldt University of Berlin) and Markus Brem (KPMG-Japan)
Municipal
Infrastructure Financing: The Case of Inverse BOT
Károly
Jókay, Judit Kálmán, and Mihály
Kopányi (all of The World Bank)
Chenglin Liu (Washington University in St. Louis)
Ownership
Concentration and Firm Performance in Russia: The Case of Blue Chips of the Stock Market
Pavel Kuznetsov
(Russian-European Center for Economic Policy-Moscow)
and
Alexander Muravyev (Saint-Petersburg State
University and Russian-European Center for Economic Policy-Moscow)
Chair: Rudolf Richter (University
of Saarland)
Discussants: Dino
Falaschetti (University
of California) and Charles
Elworthy (Free University of Berlin)
Privatization
and Performance: Do the Speed and Sequence of the Process Impact Performance of Former
Monopolies?
Jean-Phillipe
Bonardi (University of Western Ontario) and Bertrand V. Quelin (HEC Paris)
Does
Individual-Specific Uncertainty Lead to Resistance to Reform? Evidence from Laboratory
Participation Games
Timothy N.
Cason (Purdue University) and Vai-Lam Mui (University of Notre Dame)
Incentive
versus Transaction Costs: A Theory of Procurement Contracts
Steven Tadelis and
Patrick Bajardi (both of Stanford
University)
Chair
and Session Organizer: James Alt (Harvard University)
Discussants: Arthur
Lupia (University of California, San Diego) and Jean
Ensminger (California Institute of Technology)
Frank Heinemann
(Goethe
University-Frankfurt), Rosemarie
Nagel (University Pompeu Fabra-Barcelona) and Peter
Ockenfels (Goethe University-Frankfurt)
Trust and
Incentives in Principal-Agent Negotiations: The Insurance/Incentive Trade-Off
Gary Miller (Washington University in St. Louis) and Andrew Whitford (University
of Kansas)
Sean Gailmard (University of Chicago) and Thomas
R. Palfrey (California Institute of
Technology)
Chair: Itai Sened (Washington University in St. Louis)
Discussants: Richard
Langlois (University of Connecticut) and Michel
Ghertman (HEC, Paris)
Avner Greif (Stanford University)
Innovation
Versus Stagnation: Japanese and Chinese Silk Reeling Industries 1860-1937
Debin Ma (University of Missouri St. Louis)
Learning,
Change, and Economic Performance
Chris
Mantzavinos (Max
Planck Project Group), Douglass
C. North (Washington University in St. Louis) and Syed Shariq
(Stanford University)
Transparency,
Contract Selection and the Maritime Trade of Venetian Crete, 1303-1351
Dean V.
Williamson (US Department of Justice)
Panel VI-C:
POLITICAL RISKS AND CORRUPTION
Chair: Philip
Keefer (The
World Bank)
Discussants: Paul Zak (Claremont Graduate University) and Kazi Ali Toufique (Bangladesh Institute of Development Studies)
Political and
Administrative Corruption: A Comparative View of Their Organization and Development
Jose Alberto
Garibaldi (ITAM/SECODAM-Mexico)
Political
Risk, Political Capabilities and International Investment Strategy: Evidence From the
Power Generation Industry
Guy L.F.
Holburn (University California at Berkeley)
Carlos Pereira (University of Oxford),
Eduardo Leoni (Michigan State University) and Lúcio
Rennó (University of Pittsburgh
Sonja Opper (University
of Tübingen) Man Lai Sonia Wong (University
of Hong Kong) and Hu
Ruyin (Shanghai Stock Exchange)
Panel VI-D, Roundtable: COMMENTARY ON ARMEN ALCHIANS CONTRIBUTION TO NIE
Chair
and Session Organizer: Lee Benham (Washington University in St. Louis)
Lee Benham (Washington
University in St. Louis)
Armen
Alchian and Financial Economics
Harold Mulherin
(Claremont McKenna College)
On
Armen A. Alchian
Rudolf Richter (University of Saarland)
Susan Woodward (Sand
Hill Econometrics)
Alchian Between
the Lines
Earl
Thompson (University
of California at Los Angeles)
Chair: Mary
Shirley (The World Bank)
The Economics
of Education: Some Lessons from Sociology
George A.
Akerlof and Rachel
E. Kranton (both of University of California at Berkeley)
Vertical
Integration In Gasoline Supply: An Empirical Test Of Raising Rivals' Costs
Richard Gilbert
and
Justine Hastings (both of University of California at Berkeley)
The Science
of Contract: Private Ordering
Oliver E.
Williamson (University of California at Berkeley)
Disintermediation
in the Online Transactions: Why do Traditional Retailers Behave Differently When Adopting
E-Commerce
Veneta
Andonova
Credible Commitments And Investment: Does Checking the
Ability or Incentive For Opportunism Matter?
Dino
Falaschetti (University
of California)
Participatory
Democracy in Latin America: A Comparative Analysis
Clemente
Forero-Pineda (Universidades
de los Andes Y el Rosario)
Towards a General Theory of Contract Enforcement: Understanding the Linkages Between Alternative Enforcement Mechanisms
Hamish Gow and
Johan F.M. Swinnen
Protecting Your Protection in a Violent World: The Interrelationship Between a States Organization of Violence and Its Constitutional Design
William
Humphrey (Washington
University in St. Louis)
Ethnic Conflicts, Human Capital and Migratory Patterns of Minorities
Eliakim Katz
and Hillel Rapoport (Bar-Ilan University)
Coordination and Decommissioning: NFSNET and the Evolution of the Internet, 1985-95
Eiichiro
Kazumori (Stanford
University)
Barriers to Participation: The Informal Sector in Emerging Democracies
Catherine
Kuchta-Helbling (The Center for
International Private Enterprise)
Credit Contracts in Transition Countries: Contractual Problems and Different Solutions
Maria
Lissowska (Warsaw
School of Economics)
A Theoretical
and Empirical Study of Institutions Inside School Organizations
R.W. McMeekin (Centro de
Investigación e Desarrollo de la Educación)
Rustem M.
Nureev and Anton
Runov (both of The State University Higher School of Economics, Moscow)
Michael Rushton
(University
of Regina)
Soft Budget Constraints: Contract Approach
Andrei
Shastitko and Vitali Tambovstev
An Empirical
Evaluation of Offset Arrangements
Travis Taylor (University
of Richmond)
Kazi Toufique
(Bangladesh
Institute of Development Studies)
Ning Wang (University
of Chicago)
Complementarities
in Franchising Networks: A Property Right Approach
Josef
Windsperger (University
of Vienna)