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Tournaments, reward structures based on rank order, are compared with individual contracts in a model with one risk-neutral principal and many risk-averse agents. Each agents' output is a stochastic function of his effort level plus an additive shock term that is common to all the agents. The...
Persistent link: https://www.econbiz.de/10013232756
; they do not include the likely fee increases resulting from less competition among auditors. We calculate that the latter …
Persistent link: https://www.econbiz.de/10013078591
This paper considers functions of contracting other than the protection of relationship-specific investments and the provision of marginal incentives, and applies the theory to explain variation in the form of compensation of over-the-road truck drivers in the U.S. Specifically, we argue that...
Persistent link: https://www.econbiz.de/10013212570
Many goods and services can be readily provided through a series of unconnected transactions, but in health care close coordination over time and within care episodes improves both health outcomes and efficiency. Close coordination is problematic in the US health care system because the...
Persistent link: https://www.econbiz.de/10012766288
, quality competition came more in the form of costs that vary with hotel size, and less in the form of costs that are fixed …
Persistent link: https://www.econbiz.de/10012857730
We establish four facts concerning competition among U.S. generic drug suppliers, using IQVIA's National Sales … cohorts; (iii) the extent of competition is greatest for the oldest molform cohorts and is smallest for the youngest molform … cohorts. With a median of one competitor, the extent of competition in the youngest molform cohort is very limited; and (iv …
Persistent link: https://www.econbiz.de/10012862864
Theoretical models of competition with fixed prices suggest that hospitals should compete by increasing quality of care … for diseases with the greatest profitability and demand elasticity. Most empirical evidence regarding hospital competition … within hospitals across quality measures. And second, while we replicate the standard result that greater competition leads …
Persistent link: https://www.econbiz.de/10012979347
of the individual insurance market, the Marketplaces invoke many of the principles of regulated competition including … the tools of regulated competition. We then discuss ways in which the Marketplace model deviates from the more …
Persistent link: https://www.econbiz.de/10012955448
The main purpose of this paper is to estimate an equilibrium model of private and public school competition that can …
Persistent link: https://www.econbiz.de/10012957373
This paper examines vertical arrangements in electricity markets. Vertically integrated wholesalers, or those with long-term contracts, have less incentive to raise wholesale prices when retail prices are determined beforehand. For three restructured markets, we simulate prices that define...
Persistent link: https://www.econbiz.de/10012775797