M. Vatiero, “The Theory of Transaction in Institutional Economics A History” (Routledge 2020)

Despite abundant literature on transaction costs, there is little to no in-depth analysis regarding what the transaction is or how it works. Drawing on both mainstream and heterodox literature and a variety of interdisciplinary sources, this monograph traces the history of transaction costs in institutional economics, mapping the topicality and use of the idea of transaction in institutional economics literature over time, explicating how historical context affects this idea.

Vatiero treats the idea of ‘transaction’ as a construct with legal, competitive and political dimensions, and connects different approaches within institutional economics. The book covers the contributions of key thinkers from different schools, including Veblen, Coase, North, Williamson, Dixit.

This book will be of interest to advanced students and researchers of the history of economic thought, institutional economics, microeconomic theory, and law and economics.

Table of Contents

Part I: Introduction
1. Introduction
2. What is a Transaction?
Part II: The Legal Dimension of Transactions
3. The Legal Position as Positional Goods
4. The Impact of Judicial Efficiency on Transactions
Part III: The Competitive Dimension of Transactions
5. The Role of Competition in Investment Choices
6. The Role of Competition in Hold-Up Risk
Part IV: The Political Dimension of Transactions
7. Transacting Party as a Political Actor
8. Politics-Based Evolution of Corporate Governance
Part V: Conclusion
9. Conclusion

Massimiliano Vatiero is “Brenno Galli” Chair and Assistant Professor of Law and Economics at the Università della Svizzera Italiana, Switzerland.