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Explicit Reasons for Implicit Contracts: The Legal Logic to the Japanese Main Bank System
Abstract
The Japanese main bank system is characterized by a nexus of implicit contracts. This chapter examines whether such unspoken agreements are really made, based on a comparison of Japanese and American banking systems. It is argued that if banks and firms want the arrangements stipulated by implicit contracts, then these should have been negotiated explicitly, and laid down in court-enforceable agreements. The fact that firms do not draft such agreements may indicate that they did not make them at all.
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Cites
The Market for "Lemons": Quality Uncertainty and the Market Mechanism
Akerlof, G. A. (1970) · The Quarterly Journal of Economics · doi:10.2307/1879431 · Cited by 23,016
The Role of Market Forces in Assuring Contractual Performance
Klein, B., & Leffler, K. B. (1981) · Journal of Political Economy · doi:10.1086/260996 · Cited by 3,653
Rational cooperation in the finitely repeated prisoners' dilemma
Kreps, D. M., Milgrom, P., Roberts, J., & Wilson, R. (1982) · Journal of Economic Theory · doi:10.1016/0022-0531(82)90029-1 · Cited by 2,494
The role of banks in reducing the costs of financial distress in Japan
Hoshi, T., Kashyap, A., & Scharfstein, D. (1990) · Journal of Financial Economics · doi:10.1016/0304-405x(90)90021-q · Cited by 1,213
Cited by
Appointments of outsiders to Japanese boards: Determinants and implications for managers
Kaplan, S. N., & Minton, B. A. (1994) · Journal of Financial Economics · doi:10.1016/0304-405x(94)90025-6 · Cited by 957
Sunstein, C. R. (1999) · SSRN Electronic Journal · doi:10.2139/ssrn.199668 · Cited by 384
Judicial Influence: A Citation Analysis of Federal Courts of Appeals Judges
Landes, W. M., Lessig, L., & Solimine, M. E. (1998) · The Journal of Legal Studies · doi:10.1086/468022 · Cited by 373
Does a helping hand put others at risk?: affirmative action, police departments, and crime
Lott, J. (2000) · Economic Inquiry · doi:10.1093/ei/38.2.239 · Cited by 299
7. The Economic Way of Looking at Life
(1996) · Accounting for Tastes · doi:10.4159/9780674020658-008 · Cited by 296
Metadata
- Authors
- Ramseyer, J. M.
- Venue
- The Japanese Main Bank System
- Publisher
- Oxford University Press
- Published
- 1995-02-16
- Pages
- 231-257
- OpenAlex
- W1569259624
- Cited by
- 322
- References
- 4
- FWCI
- 55.93
- Type
- book chapter
- Language
- en
- Open access
- closed
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