Impact of Incomplete Contracts on Economics

<p>The 1986 article by Sanford J. Grossman and Oliver D. Hart titled "A Theory of Vertical and Lateral Integration" has provided a framework for understanding how firm boundaries are defined and how they affect economic performance. The property rights approach has provided a formal way to introduce incomplete contracting ideas into economic modeling. <em>The Impact of Incomplete Contracts on Economics</em> collects papers and opinion pieces on the impact that this property right approach to the firm has had on the economics profession.</p>