What is corporate governance and why is it so important? How does one manage a modern company, and what changes if it's large or small, privately-owned or state-controlled, local or international? What are the relationships that involve owners, executives, and managers? What is the role played by stockholders and financial markets in the oversight of executives' behaviour? This book's authors answer these questions, explain the advantages of corporate governance for the economy, and examine some of the major scandals that have recently occurred in various countries. The issues addressed are crucial for a better understanding of the current economy, the differences between economic systems, and the ways to reduce the risk of a new global crisis.

Alessandro Goglio is a senior economist at the Oecd in Paris.

Andrea Goldstein is a senior economist at the Oecd in Paris.