incentives as well as the puzzling incompleteness of many economic contracts. …

reasonably approximate real-life decision makers? behavior. Testing this theory with field data is difficult since typically …

subordinate then is affected by the outcome of the task and he therefore has strong incentives to contribute to its success. There …

of the typical American firm. Variable pay is usually touted as a way to provide incentives to managers whose interests …

During the last two decades economists have made much progress in understanding incentives, contracts and organisations … effects of incentives. Economists may fail to understand the levels and the changes in behaviour if they neglect motives like … the desire to reciprocate or the desire to avoid social disapproval. We show that monetary incentives may backfire and …

data. Factors emphasized in the economic theory of agency, notably risk aversion, also shape pay policies but these factors …

When designing incentives for a manager, the trade-off between insurance and a good allocation of effort across various …