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Two agents sequentially contracts with different principals under moral hazard. If agents care for one another, the second principal gains by insuring them over first wages. Even with independent tasks, the first principal must offer riskier payments to induce effort.
Persistent link: https://www.econbiz.de/10010795028
competitors have incentives to bribe regulated firms to have them overstate their costs and produce less, thereby softening …
Persistent link: https://www.econbiz.de/10010795034
The interdependency of socio-ecological systems and the increased reach of human activity have led to major political and scientific challenges in the governance of environmental resources. This chapter reviews the state of our knowledge on the matter. The chapter begins by discussing the...
Persistent link: https://www.econbiz.de/10010721350
highlights that incentives do prove decisive insofar as the probability of having a formal business is greater among HB heads who …
Persistent link: https://www.econbiz.de/10010706475
The taxonomy extends the distinction between diagnostic and interactive control systems by adding two new dimensions to the one introduced by Simons (1995) which focuses on the nature of the involvement of operational managers. The first new dimension concerns the degree of specificity of the...
Persistent link: https://www.econbiz.de/10010708449
This working paper presents a review of the main criticisms to positive accounting theory (henceforth, PAT). Three levels of criticisms are distinguished: (1) on epistemology, (2) on the valitidy of the theoritical framework and (3) about the methods to test empirical predictions....
Persistent link: https://www.econbiz.de/10010708512
Persistent link: https://www.econbiz.de/10010712477
scheme of incentives in a major government agency. The incentive scheme was based on teams and covered quantity and quality …
Persistent link: https://www.econbiz.de/10010720301
We use an experiment to study the impact of team-based incentives, exploiting rich data from personnel records and … task reallocation. We find that the provision of financial incentives did raise individual performance but that managers …
Persistent link: https://www.econbiz.de/10011166368
This paper examines the incentives from stock options for loss-averse employees subject to probability weighting … incentives are maximized for strike prices set around the stock price at inception. This finding is consistent with companies … examines the relationship between risk taking incentives and stock options and finds that an executive who is subject to …
Persistent link: https://www.econbiz.de/10010891141