Start Date

11-8-2016

Description

We challenge some assumptions and interpretations of transaction cost economics by examining information technology’s impact on transaction costs of firms. We propose a dynamic view of transaction costs and multi-faceted transactions of firms to better align transaction cost economics with empirical evidence. In concluding, we discuss consequences of transaction cost changes—the creation of different size of firms and the creation of more complex firm forms.

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Aug 11th, 12:00 AM

Old Theory and New Technology— Information Technology’s Impact on Transaction Cost Economics

We challenge some assumptions and interpretations of transaction cost economics by examining information technology’s impact on transaction costs of firms. We propose a dynamic view of transaction costs and multi-faceted transactions of firms to better align transaction cost economics with empirical evidence. In concluding, we discuss consequences of transaction cost changes—the creation of different size of firms and the creation of more complex firm forms.