-taking incentives in addition to effort incentives. We develop a stylized principal-agent model that captures the interdependence … between firm risk and managerial incentives. We calibrate the model to individual CEO data and show that it can explain … with the almost uniform use of at-the-money stock options. We conclude that the provision of risk-taking incentives is a …

explanation is that managers require to be compensated for the additional risk inherent in running an aggressive tax strategy. In …

performance of the treatment stores. As predicted by theory, treatment stores that lag far behind do not respond to the incentives …

, but cannot always be eliminated. We apply our results to the choice between specialist and generalist middle managers …

This paper examines the effect of incentives on the performance of darts players. We analyze four data sets comprising … higher incentives, but choke when the incentives are really high. Professional players similarly display better performance … under higher incentives, but appear less susceptible of choking. These results speak to a growing literature on the limits …

Incentives based on esteem, honor and shame are increasingly popular and easy to use due to modern surveillance … Tirole (2011) to explore the effect of esteem-based incentives and their interaction with traditional monetary incentives. We … show that esteem-based incentives can indeed lead to a loss of control by generating multiple equilibria, some of which …

In many workplaces co-workers have the best information about each other's effort. Managers may attempt to exploit this …

This paper investigates the optimal design of incentives when agents distort probabilities. We show that the type of …, the strength of the incentives included in the optimal contract, and the location of incentives on the output space. Our …