“What have US healthcare, British railways, the shipwreck of Carillion plc, and the F-35 got in common [..] I think of them as Coasian hells. Ronald #Coase observed that an organisation could be considered as a collection of contracts, and asked why, in that case, did organisations even exist. His answer was that contractual relationships have #transactions_costs. When these transactions costs outweighed the expense of organisation, organisation would predominate. Also, there were limits to transaction; it might be actually impossible to specify what was wanted in a contract, or equivalently, it might cost too much to write it”
#Cosian_hells - now they have a name...
▻http://www.harrowell.org.uk/blog/2018/01/31/in-the-eternal-inferno-fiends-torment-ronald-coase-with-the-fate-of-hi #management #gestion #organisation