Richard N. Langlois, Professor of Economics, Head, Department of Economics, University of Connecticut, USA

‘In the forty-plus years since the first dedicated courses on the economics of organization began to emerge, there has been no single resource capturing the scope, issues, and logic of the field to which instructors could direct students. Until now. Professor Langlois’ book begins by locating the sources of organizational problems in the gains to specialization and trade and then proceeds systematically through the nature and source of frictions that impede the realization of those gains and on to the various ways alternative organizational arrangements balance the always-present tradeoffs. Along the way, Professor Langlois also traces the intellectual development of the field’s central ideas and provides expertly chosen case studies to illustrate each topic. In my ideal world, the book would be required reading in all intermediate, and above, microeconomics courses. The economics profession as a whole would likely benefit as a result.’

• ContentsPreface1 The division of labor 2 Coase and transaction costs 3 Monitoring, measurement, and moral hazard 4 Asset specificity5 Property rights and organization6 Ownership, complex contracting, and hybrids 7 Capabilities, evolution, and dynamic transaction costs8 Cognitive comparative advantage and theorganization of work 9 Modular systems

Richard N. Langlois, Professor of Economics, Head, Department of Economics, University of Connecticut, USA

‘In the forty-plus years since the first dedicated courses on the economics of organization began to emerge, there has been no single resource capturing the scope, issues, and logic of the field to which instructors could direct students. Until now. Professor Langlois’ book begins by locating the sources of organizational problems in the gains to specialization and trade and then proceeds systematically through the nature and source of frictions that impede the realization of those gains and on to the various ways alternative organizational arrangements balance the always-present tradeoffs. Along the way, Professor Langlois also traces the intellectual development of the field’s central ideas and provides expertly chosen case studies to illustrate each topic. In my ideal world, the book would be required reading in all intermediate, and above, microeconomics courses. The economics profession as a whole would likely benefit as a result.’

• ContentsPreface1 The division of labor 2 Coase and transaction costs 3 Monitoring, measurement, and moral hazard 4 Asset specificity5 Property rights and organization6 Ownership, complex contracting, and hybrids 7 Capabilities, evolution, and dynamic transaction costs8 Cognitive comparative advantage and theorganization of work 9 Modular systems

Richard N. Langlois, Professor of Economics, Head, Department of Economics, University of Connecticut, USA

‘In the forty-plus years since the first dedicated courses on the economics of organization began to emerge, there has been no single resource capturing the scope, issues, and logic of the field to which instructors could direct students. Until now. Professor Langlois’ book begins by locating the sources of organizational problems in the gains to specialization and trade and then proceeds systematically through the nature and source of frictions that impede the realization of those gains and on to the various ways alternative organizational arrangements balance the always-present tradeoffs. Along the way, Professor Langlois also traces the intellectual development of the field’s central ideas and provides expertly chosen case studies to illustrate each topic. In my ideal world, the book would be required reading in all intermediate, and above, microeconomics courses. The economics profession as a whole would likely benefit as a result.’

• ContentsPreface1 The division of labor 2 Coase and transaction costs 3 Monitoring, measurement, and moral hazard 4 Asset specificity5 Property rights and organization6 Ownership, complex contracting, and hybrids 7 Capabilities, evolution, and dynamic transaction costs8 Cognitive comparative advantage and theorganization of work 9 Modular systems