ABSTRACT
Once upon a time, there was the firm, and the boundaries of its economic jurisdiction were clearly demarcated by its ownership. There were few intrafirm transactions, and all interfirm transactions were conducted between independent parties at arm's length prices. This is no longer the case. Once upon a time, there were identifiable and autonomous markets, the confines of which were unambiguously delineated by the particular assets, goods and services being traded, and by the parties to the exchange. This is no longer the case. Once upon a time, there were nation states, whose political domain largely corresponded with their economic domains, and whose governments produced largely independent macro-economic and macro-organizational policies.1 This is no longer the case.
