excerpts from Chapter 10 of the book, 'Shaping the Adaptive Organization: Landscapes, Learning and Leadership in Volatile Times' offers 10 activities that leaders of organizations can emphasize to help shape a coherent environment that can handle constant and significant change and thereby achieve breakthroughs.

This paper by the Federal Reserve Board compares the predictions for the market value of firms from the Gordon growth model with those from a dynamic general equilibrium model of production. Special attention is focused on the prediction for movements in the market value of firms in response to a decline in the required return or an increase in the growth rate of the economy. The tension between theory and data suggests that the skyrocketing market value of firms in the second half of the 1990s may reflect a degree of irrational exuberance.

This 117 page .pdf paper addresses the causes, consequences and implications of cross-border consolidation of financial institutions. It finds that, on average, domestic banks have higher profit efficiencies than foreign banks (with the exception of U.S. banks which operate efficiently at home and abroad). The results do not preclude successful international expansion but they do suggest limits to global consolidation.

This 42-page .pdf paper analyzes whether an industry with no antitrust policy will converge to monopoly, competition or somewher in between using a dominant firm model with rational agents, endogenous mergers and constant returns to scale production. It finds that mergers are likely only when supply is inelastic or demand is elastic, suggesting that the ability of a dominant firm to raise prices through mopolization is limited. Additionally, as the discount rate increases, it becomes harder to mopolize the industry because the dominant firm cannot commit to not raising prices in the future.

This IMF working paper analyzes the costs and benefits of full dollarization compared to its closes alternative, a currency board. The paper lists several advantages and disadvantages while reviewing how various country characteristics influence the balance of arguments.

This 33-page .pdf IMF paper provides an overview of recent theoretical and empirical research on herd behavior in financial markets. It addresses the following questions: What precisely do we mean by herding? What could be the causes of herd behavior? What successes hav existing studies had in identifying such behavior? And what effect does herding have on financial markets?