A note on hierarchies and bureaucracies
Shang-Guan H. Wu
TL;DR
This paper discusses a flaw in Tirole's 1986 analysis of hierarchies and bureaucracies, highlighting potential issues in understanding organizational collusion.
Contribution
It identifies and clarifies a specific bug in the foundational model of hierarchies and bureaucracies by Tirole (1986).
Findings
Highlights a bug in Tirole's model.
Implications for understanding organizational collusion.
Calls for revisiting the theoretical framework.
Abstract
In this note, we argue that there is a bug in [Tirole, J., "Hierarchies and bureaucracies: On the role of collusion in organizations," {\em Journal of Law, Economics and Organization}, vol.2, 181-214, 1986].
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Taxonomy
TopicsBusiness Strategy and Innovation