When a principal’s monitoring information is private (non-verifiable), the agent should be concerned that the principal could misrepresent the information to reduce the agent’s wage or collect a monetary penalty. Restoring credibility may lead to an extreme waste of resources—the so-called...

Keeping a good disciplinary climate is a key to student learning and well-being. Disciplinary norms need to be clearly established and applied fairly and consistently. Yet, strictness alone cannot optimise student outcomes: students need support and understanding.