Syllabus Corp Governance LMEC Bigelli 2011-2012 - 1 - UNIVERSITÀ DI BOLOGNA - FACOLTÀ DI ECONOMIA LAUREA MAGISTRALIS IN ECONOMICS Corporate Governance (Finance I.C.) Area: Finance & Economics Winter 2011 Instructor: Marco Bigelli Office: Dipartimento di Scienze Aziendali Via Capo di Lucca, 34 3rd floor Phone: 051 2098060 Email: [email protected] Web: http://www2.sa.unibo.it/docenti/marco.bigelli/didattica.html http://www.unibo.it/SitoWebDocente/default.htm?UPN=marco.bigelli%40unibo.it Office hours: please, check my web site at: http://www.unibo.it/SitoWebDocente/default.htm?NRMODE=Published&TabControl1=Tab Avvisi&upn=marco.bigelli%40unibo.it&news=5970 Required knowledge Basic financial knowledge of financial instruments, present values of cash flows, organization of financial markets and corporations. Objectives The course tries to cover in a comparative way the main models of corporate governance and their specific problems. It focuses also on shareholders protection and expropriation and on some EU directives aimed to integrate European Financial Markets. Program (and relative reading material) 1. Course introduction: International corporate governance models: Bank oriented (Japan, Germany, continental Europe) versus market oriented (US, UK). The anglosaxon model and the "public company". Agency costs from separation of ownership and control in a public company. External solutions: market for products, market for managers, market for corporate control. (Slides 1, REQ1, REQ2) 2. Agency costs from separation of ownership and control in a public company. Internal solutions: board of directors, debt, monitoring by institutional investors, incentive schemes. (Slides 2, REQ1, REQ2) 3. The US Enron scandal and the Sarbanes-Oxley Act (Slides 3, OPT1) - 2 - 4. The Continental European Model: ownership-control separation through “legal devices"