The main problem of this paper to be solved is to outline one of the main cultural institutions - namely schools - in terms of firms. In order to achieve this goal, the basic characteristics of firms had to be established, also analysing the most important problems related to them. The paper claims that, in fact, all firms overlap and thus depend on each other, which inevitably limits their competition to a certain degree. This is especially true for cultural institutions in the process of producing human capital. The authors propose to use rather strategic coordination instead of internalisation in the process of treating externalities.
Smith, A. (1986 ): The Wealth of Nations. London-New York-Auckland: Penguin Books.