Tarek Hassan, Associate Professor of Finance and Economics and Neubauer Family Faculty Fellow
Summary: An expanding literature studies the social structure of the firm (Bennedsen, Nielsen, and Perez-Gonzalez, 2007, QJE; Bloom, Sadun, and van Reenen, 2012, QJE). This literature studies how firm management styles adapt to different economic conditions and institutional settings. Another, largely separate, literature in political economy studies how governments shape economic institutions, but ignores the social context in which these decisions are made. In this project, we attempt to bridge the gap between these two literatures: There should be a deep analogy between the sociology of the firm and the sociology of governments. Faced with similar problems, such as corruption, low trust, etc. both types of organizations may adapt in similar ways.