...remarked over two centuries ago that directors of companies "being managers of other peoples' money rather than of their own, it cannot well be expected that...should watch over it with the same anxious vigilance" as those who own the assets in question themselves5. But the concern to design a system of association...

...which creates poor incentives for managers to operate the firms efficiently: The directors (managers) of such companies, however, being the managers rather...private copartnery frequently watch over their own. . . . Negligence and profusion, therefore, must always prevail, more or less, in the management of...

...Adam Smith (1723-90), a professor at Glasgow University, wrote that: 'The directors of such companies, being the managers rather of other people's money...private co-partnery frequently watch over their own... Negligence and profusion... must always prevail more or less, in the management of the affairs of such...

...in The Wealth of Nations, "The directors of such [joint-stock] companies, . . . being the managers of other people's money than of their own, it cannot...should watch over it with the same anxious vigilance ..." This criticism of joint-stock firms was frequently repeated, in many different forms. Most businessmen...

...such a company to conduct the oversight of the assets of the company in an honest manner, stating: being the managers rather of other people's money...their own, it cannot well be expected that they should look over it with the same anxious vigilance with which the partners of a private copartner/ frequently...

...and passive owners, don't be surprised when the looting begins." same anxious vigilance with which partners in a private copartnery frequently watch...over their own. Like the stewards of a rich man, they . . . very easily give themselves a dispensation. Negligence and profusion must always prevail." THE...

...organisational effectiveness He found out that the managers of other people's money cannot 'well be expected to watch over it with the same anxious vigilance with which the partners of a private copartnery frequently watch over their own [so that] negligence and profusion therefore,...

...always employ others to direct the day-to-day affairs of the company, moreover, and these directors, "being the managers rather of other people's money than of their own," cannot be expected to "watch over it with the same anxious vigilance" that a person would show if he...

...betrachteten börsennotierten Aktiengesellschaften. Dies beschrieb Adam Smith bereits im Jahre 1776: "The directors of such companies, however, being the...frequently watch over their own. Like the stewards of a rieh man, they are apt to consider attention to small matters as not for their master's honour, and...

...Incentives: A Survey," Federal Reserve Bank of New York, FRBNY Policy Review, April 2003, p. 32. 51 . "The directors of such companies, however, being the...private co-partnery frequently watch over their own. . . . Negligence and profusion, therefore, must always prevail, more or less, in the management of...