This paper provides a complete view about the causes and effects of concentrated ownership and the agency problem of the second type.Firstly,it surveys the prevalence and the determinants of concentrated ownership.Secondly,it summarizes the influence of the agency problem of the second type,and generalizes two basic models of the research on this influence.As a conclusion,it finds that the concentrated ownership and the agency problem of the second type are in a causality circulation system which starts with and at the same time ends up with the benefits of control.On this basis,it concludes that a more comprehensive investigation on system-exogenous factors,an introduction of the automatic supervision and restraint mechanisms of capital market,and a proper disposition of the endogeneity problem in analytical models may be some important aspects demanding attention in future research.
A Literature Review of Concentrated Ownership and Agency Problem of the Second Type
Foreign Economics & Management Vol. 38, Issue 01, pp. 87 - 100 (2016) DOI:10.16538/j.cnki.fem.2016.01.008
Cite this article
Wu Shifei. A Literature Review of Concentrated Ownership and Agency Problem of the Second Type[J]. Foreign Economics & Management, 2016, 38(1): 87–100.