According to the Royal Swedish Academy of Sciences, “The new theoretical tools created by [Dr.] Hart and [Dr.] Holmström are valuable to the understanding of real-life contracts and institutions, as well as potential pitfalls in contract design. … [Dr. Hart’s] findings on incomplete contracts have shed new light on the ownership and control of businesses and have had a vast impact on several fields of economics, as well as political science and law.”
Professor Hart’s research centers on the roles that ownership structure and contractual arrangements play in the governance and boundaries of corporations. He also researches bankruptcy proceedings and bankruptcy reform, with a focus on how to mitigate wasteful conflicts of interest that can arise among different claimant groups. Professor Hart has consulted and provided expert testimony on tax disputes in which he has evaluated the business purpose and economic substance of special purpose entities. In other matters, he has provided guidance on damages and the broader economic consequences associated with breaches of contract.
Professor Hart’s book, Firms, Contracts, and Financial Structure, is a leading reference in the field. He is a Fellow of the Econometric Society, the American Academy of Arts and Sciences, the British Academy, and the American Finance Association, and a member of the National Academy of Sciences. ■