WikiSummary, the Social Science Summary Database

Williamson: The economics of organization

From WikiSummary, the Free Social Science Summary Database

This summary needs formatting (i.e. "wikification"). Can you help us improve it? (Formatting help.) Please volunteer.
This summary is a stub. Can you help us improve it? Please volunteer.

Williamson. 1981. The economics of organization: The transaction cost approach. American Journal of Sociology 87: 548-77.

A somewhat dense analysis of how transaction costs affect organizational decisions. In effect, this is the point: Using a complex structure to govern simple transactions incurs unneeded costs, but using a simple structure to govern a complex transaction invites strain (562). Thus, because there are many types of transactions, there are many types of organizations (568).