Paul Vaaler

  • John and Bruce Mooty Chair in Law and Business

Carleton College, B.A.
Oxford University, M.A.
Harvard University, J.D.
University of Minnesota, Ph.D.

Office: 412
Mondale Hall, 229 19th Avenue South
Minneapolis, MN 55455

Professor Paul M. Vaaler was appointed the inaugural holder of the John and Bruce Mooty Chair in Law and Business in 2014; the appointment is made jointly by the Law School and the University’s Carlson School of Management. Professor Vaaler joined the faculty of the Carlson School in 2007 and became an affiliated faculty member at the Law School in 2010. Prior to teaching at the University of Minnesota, he was on the faculty of the College of Business (and affiliated with the College of Law) at the University of Illinois at Urbana-Champaign and at Tufts University’s Fletcher School of Law and Diplomacy. Professor Vaaler holds an affiliated faculty appointment at the University of Oxford’s Saïd Business School, where he was the Sanjaya Lall Visiting Professor of Business and Development in 2012.

Professor Vaaler’s research and teaching interests lie at the intersection of business, law and politics. His research encompasses the long-term performance stability of and competition (antitrust) policy implications for firms in the United States; business, legal and political strategies foreign individuals and firms use to manage investment risks in developing countries; and how democratization changes the attractiveness of developing and developed countries for lending and investment. His courses address business, legal and public policy issues associated with managing intellectual property in firms, negotiating investment projects with the governments of developing countries, and structuring public-private partnerships.

Professor Vaaler earned his B.A. in history from Carleton College in Northfield, Minn., and his M.A. in philosophy, politics and economics from the University of Oxford, where he was a Rhodes Scholar. While studying for his J.D. at Harvard Law School, Professor Vaaler clerked at the Freehill Hollingdale & Page law firm in Sydney, Australia, at the Minnesota attorney general’s office in St. Paul, and at the Faegre & Benson law firm (now Faegre Baker Daniels) in Minneapolis. He then practiced at Faegre & Benson prior to returning to graduate school for his Ph.D. in strategic management from the University of Minnesota.

Professor Vaaler is the author, co-author, co-editor, and or contributor of more than 50 books, articles in academic journals and proceedings, book chapters, edited scholarly volumes, and technical reports. His articles have appeared in Academy of Management Journal, Economics Letters, Journal of Business Venturing, Journal of International Business Studies, Journal of International Management, Journal of International Money and Finance, Journal of Management Studies, Organization Science, Review of Development Economics, and Strategic Management Journal, among other academic journals. He serves on the editorial board of Academy of Management Journal and is co-editor of the Social Science Research Network’s electronic journal Global Business Issues.

Professor Vaaler has served as a consultant to the Federal Trade Commission, the World Bank, and other government agencies and firms in the U.S. and abroad. His research and commentary have appeared locally (the Minneapolis Star Tribune, WCCO), nationally (the Boston Globe, National Public Radio), and internationally (the BBC).

Every Wednesday morning, Professor Vaaler joins WCCO News Radio’s Dave Lee to discuss the latest topics in business in their segment entitled “Business By Carlson.”

For further information on Professor Vaaler, please consult his PDF iconcurriculum vitae.

More information on Professor Vaaler’s background and interests is available at his personal website: sites.google.com/a/umn.edu/paul-vaaler/.

Courses

International Business Transactions

Integrative Leadership: From Theory to Practice

Complex and Cross-Cultural Negotiations

Essentials of Business for Lawyers - 1L

Essentials of Business for Lawyers

Essentials of Business

Publications

Works in Progress

  • Business Regulating Government? Credit Rating Agencies and Election-Year Borrowing by National Governments
  • Discriminatory Product Differentiation: The Case of Israel’s Omission from Airline Route Maps (article in progress) Joel Waldfogel
  • Country- and Firm-Level Determinants of Legal Internationalization by Emerging-Market Firms (article in progress)

Books

  • The Ethical Professor: A Practical Guide to Research, Teaching and Professional Life (Routledge, 2018) Lorraine Eden & Kathy Lund Dean
  • Creative Destruction: Business Survival and Success in the Global Internet Economy (MIT Press, 2001); translated into Japanese (Toyo-Kezai Press, 2003) and Chinese (Central-South University Press, 2007) (co-editor) Lee W. McKnight & Raul Katz
  • Financial Innovations and the Welfare of Nations: How Cross-Border Transfers of Financial Innovations Nurture Emerging Capital Markets (Kluwer Academic Publishers, 2001) (co-editor) Laurent L. Jacque

Journal Articles

  • Explaining the Rise of Diaspora Institutions, Journal of Ethnic and Migration Studies (forthcoming 2018) Alan Gamlen & Michael E. Cummings
  • Minority Rules: Credible State Ownership and Investment Risk Around the World, 29 Organization Science 653-677 (2018) Barclay E. James
  • Experience, Equity and Foreign Investment Risk:  A PIC Perspective, 57 Management International Review 209-241 (2017) Barclay E. James
    | SSRN
  • Organizational Slack, National Institutions and Innovation Effort Around the World, 52 Journal of World Business 782-797 (2017) Joel Malen
    | SSRN
  • How Do Plural-Sourcing Firms Make and Buy? The Impact of Supplier Portfolio Design, 27 Organization Science 1161-1182 (2016) Mari Sako & George Chondrakis
  • Economic Informality and the Venture Funding Impact of Migrant Remittances to Developing Countries, 30 Journal of Business Venturing 526-545 (2015) Candace Martinez & Michael E. Cummings
    | SSRN
  • Minority Rules: State Ownership and Foreign Direct Investment Risk Mitigation Strategy, Columbia FDI Perspectives, no.111 (Dec. 23, 2013) Barclay James
  • Credit Rating Agencies and Elections in Emerging Democracies: Guardians of Fiscal Discipline?, 119 Economics Letters 251-254 (2013) Marek Hanusch
  • Diaspora Concentration and the Venture Investment Impact of Remittances, 19 Journal of International Management 26-46 (2013)
  • How Well Do Supra-National Regional Grouping Schemes Fit International Business Research Models?, 44 Journal of International Business Studies 451-474 (2013) Ricardo Flores, Ruth V. Aguilera & Arash Mahdian
    | SSRN
  • Immigrant Remittances and the Venture Investment Environment of Developing Countries, 42 Journal of International Business Studies 1121-1149 (2011)
  • Are Technology-Intensive Industries More Dynamically Competitive? No and Yes, 21 Organization Science 271-289 (2010) Gerry McNamara
  • Chandler’s Living History: The Visible Hand of Vertical Integration in 19th Century America Viewed Under a 21st Century Transaction Costs Economics Lens, 47 Journal of Management Studies 859-883 (2010) Marcelo Bucheli & Joseph T. Mahoney
  • Transactions Costs Economics, Knowledge Transfer and Universal Ethical Business Norms in Multinational Enterprises, 2 International Journal of Strategic Change Management 269-297 (2010) Norman Bowie
  • Changing Corporate Effects on US Business Performance Since the 1970s, 1 International Journal of Strategic Change Management 377-400 (2009) Gerry McNamara
  • Residual State Ownership, Policy Stability and Financial Performance Following Strategic Decisions by Privatizing Telecoms, 40 Journal of International Business Studies 621-641 (2009) Burkhard N. Schrage
    | SSRN
  • How Do MNCs Vote in Developing Country Elections?, 51 Academy of Management Journal 21-44 (2008)
  • Risk and Capital Structure in Asian Project Finance, 25 Asia Pacific Journal of Management 25-50 (2008) Barclay James & Ruth V. Aguilera
    | SSRN
  • Elections, Opportunism, Partisanship and Sovereign Ratings in Developing Countries, 10 Review of Development Economics 154-170 (2006) Burkhard N. Schrage & Steven A. Block
  • Counting the Investor Vote: Political Business Cycle Effects on Sovereign Bond Spreads in Developing Countries, 36 Journal of International Business Studies 62-88 (2005) Burkhard N. Schrage & Steven A. Block
  • Is Performance Driven by Industry- or Firm-Specific Factors?: A Response to Hawawini, Subramanian and Verdin, 26 Strategic Management Journal 1075-1081 (2005) Gerry McNamara & Federico Aime
  • Crisis and Competition in Expert Organizational Decision Making: Credit Rating Agencies and Their Response to Turbulence in Emerging Economies, 15 Organization Science 687-703 (2004) Gerry McNamara
  • The Price of Democracy: Sovereign Risk Ratings, Bond Spreads and Political Business Cycles in Developing Countries, 23 Journal of International Money and Finance 917-946 (2004) Steven A. Block
  • Same as it Ever Was: The Search for Evidence of Increasing Hypercompetition, 24 Strategic Management Journal 261-278 (2003) (selected by Emerald Management Reviews as one of the top 50 management research articles published in 2003) Gerry McNamara & Cynthia Devers
  • The International Control Conundrum with Exchange Risk: An EVA Framework, 32 Journal of International Business Studies 813-832 (2001) Laurent Jacque
  • Creative Destruction in the Internet Economy: The Internet’s Impact on Enterprise Valuation, 40 Communications & Strategies 193-210 (2000) Lee W. McKnight
  • The Influence of Competitive Positioning and Rivalry on Emerging Market Risk Assessment, 31 Journal of International Business Studies 337-348 (2000) Gerry McNamara

Book Chapters

  • Minority Rules: Credible State Ownership and Investment Risk Around the World, in Academy of Management Annual Meetings Best Papers Proceedings (Leslie Toombs, ed., Academy of Management, 2013) Barclay James
  • How and Why Credit Assessors “Get it Wrong” When Judging the Risk of Borrowers: Past and Present Evidence at Home and Abroad, in A Debtor World: Interdisciplinary Perspectives on Debt (Robert Lawless, Ralph Brubaker & Charles Tabb, eds., Oxford University Press, 2013) Gerry McNamara
  • Electoral and Market Rivalry in Developing Country Sovereign Risk Assessment, in Academy of Management Annual Meetings Best Papers Proceedings (George T. Solomon, ed., Academy of Management, 2008) Gerry McNamara
  • Political and Competitive Rivalry in Developing Country Sovereign Risk Assessment, in Academy of International Business Annual Conference Proceedings (2008) Gerry McNamara
  • Is It All a Matter of Grouping?: Examining the Regional Effect in Global Strategy, in International Strategic Management: A New Generation 209-228 (Stephen Tallman, ed., Edward Elgar Publishers, 2007) Ruth V. Aguilera & Ricardo Flores
  • Legal System and Rule of Law Effects on US Cross-Listing to Bond by Emerging-Market Firms, in Academy of Management Annual Meetings Best Papers Proceedings (George T. Solomon, ed., Academy of Management, 2007) Burkhard N. Schrage
  • New Methods for Ex Post Evaluation of Regional Grouping Schemes in International Business Research: A Simulated Annealing Approach, in Research Methodology in Strategy and Management 161-190 (David J. Ketchen & Donald D. Bergh, eds., Elsevier Science Publishers, 2007) Ruth V. Aguilera & Ricardo Flores
    | SSRN
  • Home Country Governance Quality and the “Bonding” Hypothesis: Evidence From Industrialized, Emerging-Market and Less-Developed Countries, in Transformations in Global Governance: Implications for Multinationals & Other Stakeholders 264-297 (Sushil Vachani, ed., Edward Elgar Publishers, 2006) Burkhard N. Schrage
  • How Do Long-Term Project Investors “Vote” in Developing Country Elections?, in Academy of Management Annual Meetings Best Papers Proceedings (K. Mark Weaver, ed., Academy of Management, 2006) Burkhard N. Schrage
  • Innovation and Creative Destruction in Emerging Markets: The Impact of State Commitments on Privatizing Telecoms, in Rethinking Rights and Regulations: Institutional Responses to New Communication Technologies 367-396 (Lorrie Cranor & Steven Wildman, eds., MIT Press, 2003) Lee W. McKnight, Burkhard N. Schrage & Raul Katz
  • Creative Destruction in Japanese Telecoms and Internet Issues: A Survey of Issues, in Creative Destruction: Business Survival in the Global Internet Economy v-x (Lee W. McKnight, Paul M. Vaaler, Raul Katz & Asahiko Isobe, eds., Toyo Kezai Press, 2002) Lee W. McKnight & Raul Katz
  • Strategic Decision-Making in the Entrepreneurial Millennium: Competition, Crisis and “Expert” Risk Assessment of Emerging Market Sovereigns, in Creating Value: Winners in the New Business Environment 188-212 (Michael A. Hitt, Raphael Amit, Charles Lucier & R. D. Nixon, eds., Blackwell Publishers, 2002) (selected by Strategic Management Society as top 10 papers presented at 2000 SMS annual conference; McKinsey Prize finalist) Gerry McNamara
  • A Tale of Two Citis: Understanding the Paradox of Product Innovation and Imitation Strategies in Multinational Financial Institutions, in Financial Innovations and the Welfare of Nations: How Cross-Border Transfers of Financial Innovations Nurture Emerging Capital Markets 223-246 (Laurent Jacque & Paul M. Vaaler, eds., Kluwer Academic Publishers, 2001)
  • Creating and Destroying Shareholder Value Across Borders, in Creative Destruction: Business Survival in the Global Internet Economy 145-166 (Lee W. McKnight, Paul M. Vaaler & Raul Katz, eds., MIT Press, 2001)
  • Introduction to Creative Destruction, in Creative Destruction: Business Survival in the Global Internet Economy 3-20 (Lee W. McKnight, Paul M. Vaaler & Raul Katz, eds., MIT Press, 2001) Lee W. McKnight & Raul Katz
  • Some Arguments for Universal Ethics within the Multinational Corporation, in International Business Ethics: Challenges and Approaches 231-250 (Georges Enderle, ed., University of Notre Dame and Hong Kong University Press, 1999) Norman Bowie
  • A Descriptive Alternative to Cluster Analysis: Understanding Strategic Group Performance with Simulated Annealing, in Statistical Models for Strategic Management 81-111 (Michel Ghertman, ed., Kluwer Academic Publishers, 1997) Isaac Fox & Shaker Srinivasan

Editorials, Commentary & Letters

  • Remiss on Remittances, The Economist, Sept. 19, 2015 (letter to editor) Marek Hanusch

Other Publications

  • Remittances Go Beyond Helping Families to Funding Small Businesses, World Bank “Let’s Talk Development” Blog, Sept. 8, 2015 Marek Hanusch
  • Cabbies and Capital: Migrants are Re-shaping the Developing World, EIX: Entrepreneur and Innovation Exchange Blog, June 18, 2015
  • Credit Ratings and Fiscal Responsibility (MFM Global Practice Discussion Paper, No. 4., World Bank, 2015) Marek Hanusch
  • Migrant Remittances, Capital Constraints and New Business Starts in Developing Countries, 8 Macroeconomic and Fiscal Management MFM Practice Notes 1-4 (2015) Marek Hanusch
  • Remittances and Private Capital Transfers, in Terra Rancha! A Fresh Start: Quinquennial Country Economic Memorandum for Guinea-Bissau 237-248 (World Bank, 2015)
  • Credit Rating Agencies in Emerging Democracies: Guardians of Fiscal Discipline? (World Bank Working Paper WPS6379, World Bank, 2013) Marek Hanusch
  • Explaining the Rise of Diaspora Engagement Institutions (IMI WP78, International Migration Institute, University of Oxford, 2013) Alan Gamlen, Michael Cummings & Laura Roussouw
  • Residual State Factors, Policy Stability and Financial Performance Following Strategic Decisions by Privatizing Telecoms (UIUC College of Business Working Paper 07-0102, University of Illinois at Urbana-Champaign, 2007) Burkhard N. Schrage
  • Are Technology-Intensive Industries More Dynamically Competitive? No and Yes (UIUC College of Business Working Paper 06-0124, University of Illinois at Urbana-Champaign, 2006) Gerry McNamara
  • Electoral Politics and Foreign Project Investment in Developing Countries (UIUC College of Business Working Paper 06-0125, University of Illinois at Urbana-Champaign, 2006)
  • Legal System and Rule of Law Effects on Cross-Listing to Bond by Emerging-Market Firms (UIUC College of Business Working Paper 06-0126, University of Illinois at Urbana-Champaign, 2006) Burkhard N. Schrage
  • Risk and Capital Structure in Asian Project Finance (UIUC College of Business Working Paper 06-0127, University of Illinois at Urbana-Champaign, 2006) Barclay James & Ruth V. Aguilera
  • Note on Agencies and Sovereign Ratings During Emerging-Market Financial Crises: 1997-1998, Fletcher School of Law & Diplomacy International Business Relations Case Program, Case No. FLD-EIB B231-RN002 (2004) Gerry McNamara
  • Note on Agencies and the Sovereign Rating Industry, Fletcher School of Law & Diplomacy International Business Relations Case Program, Case No. FLD-EIB B231-RN001 (2004) Gerry McNamara
  • Privatizing Telecoms and Residual State Influence on Financial Performance (SMU Working Paper, Singapore Management University Working Paper Series, Singapore Management University, 2004) Burkhard N. Schrage
    | SSRN
  • Democracy’s Spread: Elections and Sovereign Debt in Developing Countries (WDI Working Paper No. 575, William Davidson Institute for International Business Working Paper Series, University of Michigan, 2003) Steven A. Block & Burkhard N. Schrage
    | SSRN
  • Democratization’s Risk Premium: Partisan and Opportunistic Business Cycle Effects on Sovereign Ratings in Developing Countries (WDI Working Paper No. 546, William Davidson Institute for International Business Working Paper Series, University of Michigan, 2003) Steven A. Block & Burkhard N. Schrage
    | SSRN
  • Is Dynamic Competition Greater in Technology Intensive Industries? (Working Paper No. RPP-2003-06, Regulatory Policy Program Working Paper Series, Center for Business & Government, Kennedy School of Government, Harvard University, 2003) Gerry McNamara
  • The Price of Democracy: Sovereign Risk Ratings, Bond Spreads and Political Business Cycles in Developing Countries (CID Working Paper No. 82, Center for International Development Working Paper Series, Harvard University, 2001) Steven A. Block
  • The Privatization of Anatolia National Telekom (Harvard Business School Publishing Case Numbers 9-801-431 to 9-801-439 inclusive, Harvard Business School Publishing, 2001) (Negotiation Simulation Case Including: 1) General Instructions for Participants; 2) Confidential Instructions for Participants (6); 3) Note on Privatizing Enterprise Valuation in Emerging Markets; 4) Confidential Instructor’s Note; and 5) Spreadsheet Data and Program for Valuing Privatizing Enterprises) Banu Ozcan, Burkhard N. Schrage & Michael Watkins
  • Telecoms in Transition: Survival and Success in the Global Internet Economy, 24 Fletcher Forum of World Affairs 103-121 (2000) Peter Cukor, Raul Katz & Lee W. McKnight
  • A Tale of Two Thai Technology Transfers, Fletcher School of Law & Diplomacy International Business Relations Case Program, Case No. FLD-EIB B235 001 (1999) Pratana Vongpivat
  • Creative Destruction of Just Destruction?, in Telecoms in Transition: Survival and Success in the Global Internet Economy, Symposium Proceedings (1999) Peter Cukor, Raul Katz & Lee W. McKnight
  • Judo Economics Exercise: Challenging a State-Owned Enterprise (INSEAD Case Publishing Number 12/1999-4869, INSEAD Case Publishing, 1999) Daniel Wegiel & Soumitra Dutta
  • LOT Polish Airlines (INSEAD Case Publishing Numbers 06/1999-4837 to 06/1999-4838 inclusive, INSEAD Case Publishing, 1999) (Teaching Case Including: 1) Case A: Adapting to a Revolution; 2) Case B: Competing with Private Challengers; and 3) Confidential Instructor’s Note) Daniel Wegiel & Soumitra Dutta
  • Nationally Recognized Statistical Rating Organizations and Sovereign Risk-Ratings: Ratings Data Report for 1980-1999, Fletcher Hitachi Center for Technology and International Affairs Research Series Report, FHCTIA-001 (1999) Steven Block & Phil Uhlmann
  • Risky Business and Real Options: The Case of Ausgold and Overseas Mining Concession Valuation, Fletcher School of Law & Diplomacy International Business Relations Case Program, Case No. FLD-EIB B230-001 (1998)
  • The Privatization of Verbundnetz Gaz AG, Fletcher School of Law & Diplomacy International Business Relations Case Program, Case No. FLD-EIB B260 001 (1998) Lisa Bozoyan
  • Twilight of the Multinational Firm?, 22 Fletcher Forum of World Affairs 117-124 (1998) (reviewing John H. Dunning, Alliance Capitalism and Global Business (Routledge, 1997), Benjamin Gomes-Casseres, The Alliance Revolution: The New Shape of Business Rivalry (Harvard University Press, 1996) & James F. Moore, The Death of Competition: Leadership and Strategy in the Age of Business Ecosystems (Harper Business, 1996)) (review essay)
  • Some Constructive Skepticism About the Origins of Profit (FTC Working Paper, US Federal Trade Commission, Bureau of Economics, Line of Business Program, 1997) Isaac Fox & Shaker Srinivasan
  • Markets and Firms: Student Note Introducing the Theory of the Firm and Transaction Cost Economics, Fletcher School of Law & Diplomacy International Business Relations Case Program, Case No. FLD-EIB B225-SN001 (1996)
  • Mr. Anderson Goes to Sotheby’s: An Uneasy Alliance of Competitors, Fletcher School of Law & Diplomacy International Business Relations Case Program, Case No. FLD-EIB B225-002 (1996)
  • Nestle and the UK Instant Coffee Industry: Testing the Structure-Conduct-Performance Hypothesis, Fletcher School of Law & Diplomacy International Business Relations Case Program, Case No. FLD-EIB B225-001 (1996)
  • Stakeholder Analysis and the Role of Ethics in Management: Student Note, Fletcher School of Law & Diplomacy International Business Relations Case Program, Case No. FLD-EIB B225-SN002 (1996)

Doctoral Theses

  • First-Mover Advantage and Repeat Pioneering with Global Financial Innovations (1997) (unpublished Ph.D. Dissertation, University of Minnesota)

Contact Information

University of Minnesota Law School

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P: 612-625-1000

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