University of Pennsylvania Carey Law School Penn Law: Legal Scholarship Repository Faculty Scholarship at Penn Law 2009 Neoclassicism and the Separation of Ownership and Control Herbert J. Hovenkamp University of Pennsylvania Carey Law School Follow this and additional works at: https://scholarship.law.upenn.edu/faculty_scholarship Part of the Business Organizations Law Commons, Corporate Finance Commons, Economic History Commons, Economic Theory Commons, Industrial Organization Commons, Law and Economics Commons, Legal History Commons, and the Securities Law Commons Repository Citation Hovenkamp, Herbert J., "Neoclassicism and the Separation of Ownership and Control" (2009). Faculty Scholarship at Penn Law. 1792. https://scholarship.law.upenn.edu/faculty_scholarship/1792 This Article is brought to you for free and open access by Penn Law: Legal Scholarship Repository. It has been accepted for inclusion in Faculty Scholarship at Penn Law by an authorized administrator of Penn Law: Legal Scholarship Repository. For more information, please contact
[email protected]. VIRGINIA LAW & BUSINESS REVIEW VOLUME 4 FALL 2009 NUMBER 2 NEOCLASSICISM AND THE SEPARATION OF OWNERSHIP AND CONTROL Herbert Hovenkamp† INTRODUCTION ...................................................................................................... 374 I. FISHER’S SEPARATION THEOREM ................................................................... 383 II. VALUE MAXIMIZATION AND THE NATURE OF THE FIRM ....................... 286 III. THE FINANCIAL STRUCTURE AND VALUE