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A "decoupled" liability system is one in which the award to the plaintiff differs from the payment by the defendant. The optimal system of decoupling makes the defendant's payment as high as possible. Such a policy allows the award to the plaintiff to be lowered, thereby reducing the plaintiff's...
Persistent link: https://www.econbiz.de/10013224692
or responsiveness to financial incentives. In the frontier literature productive efficiency is assumed to be exogenously … with theoretical work on internal theory of the firm, which predicts that productivity compensation schemes will work well … production, as theory has hypothesized. The number of members in a group decreases both the quantity produced and the efficiency …
Persistent link: https://www.econbiz.de/10013224695
In an earlier work, we analyzed how the legal rules governing contractual liability affect the transfer of information between the parties to the contract. In particular, we showed how limitations on contractual liability might lead high valuation buyers to reveal their valuation of performance,...
Persistent link: https://www.econbiz.de/10013225394
Individuals invest in their local environments by volunteering, getting involved in local government, becoming informed about their political leaders, joining non-professional organizations and even gardening. Homeownership may encourage these investments because homeownership gives individuals...
Persistent link: https://www.econbiz.de/10013226987
Individuals involved in basic research, like other workers, respond to incentives. Funding agencies provide implicit … incentives when they specify the rules by which awards are made. The following analysis is an exercise in understanding … incentives at an applied level. Specific rules are examined and analyzed to determine their incentive effects. For example, what …
Persistent link: https://www.econbiz.de/10013227506
revisions in evaluating the neutrality of different incentives. Another point we would make is that Boadway's results depend … these important elements of the problem, general results about the neutrality of different incentives can no longer be …
Persistent link: https://www.econbiz.de/10013231001
We study the effect of physician incentives in an HMO network. Physician incentives are controversial because they may … induce doctors to make treatment decisions that differ from those they would chose in the absence of incentives. We set out a … suggestive evidence that financial incentives linked to commonly used quality measures may stimulate an improvement in measured …
Persistent link: https://www.econbiz.de/10013233219
The paper emphasizes the role of institutions and incentives in the presence of externalities. An economy with multiple … effective institutions exist for overcoming coordination failure. External financing may weaken incentives for adjustment over … that strengthen incentives to provide effort. Uncertainty regarding future taxes reduces present effort and the …
Persistent link: https://www.econbiz.de/10013233750
theory of agency, notably income insurance and multi-task considerations, also shape pay policies. The conclusion we draw …
Persistent link: https://www.econbiz.de/10013234345
Private ownership should generally be preferred to public ownership when the incentives to innovate and to contain … capitalist incentives to innovate. Moreover, many of the concerns that private firms fail to address social goals' can be …
Persistent link: https://www.econbiz.de/10013239155