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Creative ReconstructionsMultilateralism and European Varieties of Capitalism after 1950$
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Orfeo Fioretos

Print publication date: 2011

Print ISBN-13: 9780801449697

Published to Cornell Scholarship Online: August 2016

DOI: 10.7591/cornell/9780801449697.001.0001

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Three Models of Open Governance

Three Models of Open Governance

(p.44) Chapter 3 Three Models of Open Governance
Creative Reconstructions

Orfeo Fioretos

Cornell University Press

This chapter analyzes the hypotheses of three models of firm behavior. It looks at what form business coalitions take and identifies how, under conditions of economic openness, the interaction of various national and multilateral designs affects the credibility of firms' commitments to the governments' institutional designs. The method of analysis examines how variations in internal parameters—such as the economic system in which a firm is embedded and the degree to which it relies on specific social contracts—interact with changes in external parameters like market integration and different forms of multilateralism. The chapter considers changes in external parameters sequentially in order to identify the cumulative effects that different levels of market integration and forms of multilateralism have for firms' preference orders.

Keywords:   firm behavior, global rationality models, embedded rationality models, behavioral rationality models, business coalitions, market integration, multilateralism

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