Ronald Coase

Essay # 59731

Ronald Coase

A discussion on Ronald Coase's contributions to law, economics and modern industrial organisation and their nature and significance.

2,304 words () | 2 sources | APA | 2004 United Kingdom

Paper Summary:

This paper discusses two of Ronald Coase's most important papers: "The Nature of the Firm" and "The Institutional Structure of Production." It explains how he developed the idea of transaction costs and the implications for economic theory that resulted.

Outline
The Father of Law and Economics
The Father of Modern Industrial Organisation
The Significance of Coase's Contributions
References

From the Paper:

"The connection between law and economics pioneered by Coase has had continuing significance. The subject of "law and economics" now flourishes in American law schools. Coase has also paved the way for economic analysis that places as much emphasis on the institutional setting within which a trade occurs, as the mechanics of the trade itself. He has shown how the laws governing how this process of exchange takes place have measurable effects on the incentives to produce and the costs of transacting. It is for the above reasons that Coase has been called "the father of law and economics.""