efficiency is not attainable. We show that contracts involving mutual control might sometimes be superior to the best contract …

This paper examines the sharing of risk under three different remedies for breach of contract. The risk considered …. By means of a numerical example, it is shown that use of the prevailing remedy for breach of contract -- the expectation …

We consider a buyer and seller who contract over a service. The contract encourages investment and provides a reference … point for the transaction. In normal times the contract works well. But with some probability an abnormal state occurs and … guiding principles such as loyalty and equity in their contract can help. We provide supporting evidence in the form of case …

. If when an employer and worker establish a relationship they cannot contract on the output and profits of the worker …'s prospective new firm, the employer counters by inducing the worker to sign a contract that prohibits him from competing or …

given period, after having observed her income, the agent can walk away from the contract, while the intermediary cannot, i … intermediaries. Insurance can be provided because in an equilibrium contract an up-front payment effectively locks in the agent with … an intermediary. We then show that our contract economy is equivalent to a consumption-savings economy with one …