Haan, Marco A.; Los, Bart; Riyanto, Yohanes E. - Faculteit Economie en Bedrijfskunde, Rijksuniversiteit … - 2007
Abstract We show that there may be circumstances in which a principal prefers not to observe the project choice of an agent that acts on her behalf. The ability of the agent is private information. Projects differ with respect to the amount of risk. If the principal can observe the project...