The Economics of Imperfect Markets

This book is one of the ?nal products of a research project on the effects of market imperfectionson economic behavior and decisions. The project was put together by four Italian universities (Universita di Roma Tor Vergata and La Sapienza U- versita Cattolica del Sacro Cuore Piacenza and the Universita di Urbino Carlo Bo ) in 2005 and funded by the Italian Ministry of Higher Education and Research for the period 2006 2007. The research title of the project Corporate governance, ?nancial systems and ?rms performances was indicative of its agenda: to inv- tigate the role of market imperfections and their interactions on ?rms decisions. In 2006 (May 12) the research group held the ?rst conference at the Universita di Urbino where intermediate results were ?rst presented and discussed with o- standing scholars from US, UK, and Italian universities, and the European Central Bank. The book reproduces the papers presented at the Universitad ` iRoma La Sapienza conference (May 16 17 2008) and is organized in two parts. The ?rst one discusses imperfectionsthat are mainly related to the working of ?nancial m- kets. The second part includes contributions which focus on different topics of real market imperfections. We wish to thank Steve Nickell, Philip Vermeulen and all the participants at the Urbino and Rome conferences who made both events extremely productive with their scienti?c contributions. We are especially grateful to Bob Chirinko who p- ticipatedinbothconferencesandconstantlyencouragedustocarryoutourscienti?c project on the economics of imperfect markets.

Includes supplementary material: sn.pub/extras

Autorentext
Giorgio Calcagnini is Professor of Economics at the University of Urbino, Italy, where he teaches courses and conducts applied research on investment, macro- and micro-economic theory, and the financial system. He was a researcher at ISCO and at the Confindustria, both in Rome.

Klappentext

The real world is characterized by the presence of imperfections in goods, financial and labour markets. These imperfections have the potential to create links among those markets that differ in a relevant way from those outlined in the standard model. For instance, financial imperfections can alter the efficiency of the economy and thus cause unintended effects on good and labour markets. Moreover, in the presence of market distortions, the interaction between policies and institutions becomes a critical aspect. This book, which brings together essays from outstanding scholars on this subject, provides new insights on how these imperfections affect the outcomes of real-world markets. TOC:Imperfections in Financial Markets: What Can Cash Shortfalls and Windfalls Tell Us About Finance Constraints?- Non-Tobin's q in Tests for Financial Constraints to Investment.- Cash Holdings, Firm Value and the Role of Market Imperfections: A Cross-Country Analysis.- Multiple Bank Relationships and the Main Bank System: Evidence from a Matched Sample of Japanes Small Firms and Main Banks.- Credit Rationing and Asset Value.- Financial Development and Long-Run Growth: Is the Cross-Sectional Evidence Robust?- Imperfections in Real Markets: Investment, Productivity and Employment in the Italian Economy.- The Macroeconomics of Imperfect Capital Markets: Whither Saving-Investment Imbalances?.- The Effects of Uncertainty and Sunk Costs on Firms' Decicion-Making: Evidence from Net Entry, Industry Structure and Investment Dynamics.- Investment and Trade Patterns in a Sticky-Price, Open-Economy Model.- Anticompetitive Effects of the Antitrust Policy.

Inhalt
Imperfections in Financial Markets.- What Can Cash Shortfalls and Windfalls Tell Us About Finance Constraints?.- Non-Tobin's q in Tests for Financial Constraints to Investment.- Cash Holdings, Firm Value and the Role of Market Imperfections. A Cross Country Analysis.- Multiple Bank Relationships and the Main Bank System: Evidence from a Matched Sample of Japanese Small Firms and Main Banks.- The Role of Fixed Assets in Reducing Asymmetric Information.- Financial Development and Long-Run Growth: Cross-Sectional Evidence Revised.- Imperfections in Real Markets.- Investment, Productivity and Employment in the Italian Economy.- The Macroeconomics of Imperfect Capital Markets: Whither Saving-Investment Imbalances?.- The Effects of Uncertainty and Sunk Costs on Firms' Decision-Making: Evidence from Net Entry, Industry Structure and Investment Dynamics.- Investment and Trade Patterns in a Sticky-Price, Open-Economy Model.- The Anticompetitive Effects of the Antitrust Policy.