Francine Lafontaine
University of Michigan, USA



(Monday, 1st April 2002)

Title : The Economics of Franchising

This lecture will review the basic principal-agent model as it has been applied to analyses of linear contracts, and a number of theoretical extensions. The goal will be to highlight empirical predictions from these models, and compare them to results in the empirical literature on franchising.

Bibliographical references :

Francine Lafontaine, Kathryn L. Shaw, "Targeting Managerial Control: Evidence from Franchising" , NBER Working Paper No.w8416, August 2001.