CHAPTER 1: Informational Control and Organizational DesignThis essay focuses on organizational issues of allocating authority between an uninformed principal and an informed expert. We show that the established result of Dessein (2002) that delegating decisions to a perfectly informed expert is...

This paper studies the principal-agent framework in which the principal wants to implement his first-best action. The principal privately selects a signal structure about the unknown state of the agent whose preferences depend on the principal's action, the state and a privately known agent's...