Title: On the Economics and Politics of Corporate Finance and Corporate Control
Abstract: The purpose of this essay is to call for a reassessment of the significance of corporate finance for corporate control and for a reorientation of the theory of corporate governance. The long-running repertory play "Banks versus Markets" should be taken off the playbill for a while, to be replaced perhaps by a new offering "Career Patterns, Intrigues, and Resource Allocation in Insider Systems with Mutual Interdependence."