EconPapers    
Economics at your fingertips  
 

Transfer Pricing and Ownership Structure

Tommy Gabrielsen () and Guttorm Schjelderup ()

Scandinavian Journal of Economics, 1999, vol. 101, issue 4, 673-688

Abstract: We study the performance of jointly owned production units where upstream firms sell inputs to a downstream final market producer. It is found that, compared to integrated firms, co‐ownership leads to overinvoicing of input prices (transfer prices), resulting in lower aggregate profits. Tax and tariff policy may lessen the organizational inefficiencies of jointly owned firms. The analysis suggests that firms must have other reasons for forming jointly owned production units than those guided by production efficiency and benefits from delegation of decision‐making. JEL classification: F23; L23

Date: 1999
References: Add references at CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
https://doi.org/10.1111/1467-9442.00179

Related works:
Working Paper: Transfer Pricing and Ownership Structure (1999)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bla:scandj:v:101:y:1999:i:4:p:673-688

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=0347-0520

Access Statistics for this article

Scandinavian Journal of Economics is currently edited by Richard Friberg, Matti Liski and Kjetil Storesletten

More articles in Scandinavian Journal of Economics from Wiley Blackwell
Bibliographic data for series maintained by Wiley Content Delivery ().

 
Page updated 2020-11-18
Handle: RePEc:bla:scandj:v:101:y:1999:i:4:p:673-688