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Cardozo Journal of International and Comparative Law

Abstract

The article examines the differing approaches to addressing corporate agency costs in the United States and Israel, highlighting how each country's legal frameworks and market mechanisms respond to distinct agency problems. In the U.S., the "management problem" arises from the separation of ownership and control, whereas Israel faces the "control problem" due to the concentration of ownership. The analysis underscores how the prevalence of these issues influences the adoption of voluntary vs. mandatory solutions.

Disciplines

Commercial Law | Comparative and Foreign Law | Law | Law and Economics

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