-term contracts. We argue that only if the parties to a unitization contract have unit production shares that are the same as their … cost shares will the contract be incentive compatible. Using a data base of sixty unit operating agreements, we measure the … desirable contract rules for avoiding moral hazard. It also shows how the effects of those rules can be replicated in difficult …

firms can deny valid claims. In this environment, trust and honesty are critical factors that shape insurance contracts and … insurance contracts, and show how they depend on the quality of the legal system and the level of trust. We then investigate the … insurance. The evidence is consistent with the centrality of trust for insurance markets, as predicted by the model …

contracts. Belief in the effectiveness of courts has a significant positive effect on the level of trust shown in new …

the sequence of events is as follows. In a period, t, the supplier offers a contract to the retailer, and the retailer … excess inventory (we assume a lost sales model) to the next period. In period t 1, the supplier designs a new contract based … certain assumptions, we characterize and evaluate the supplier's optimal contract. To do so, we cast our problem as an adverse …

British Master and Servant law made employee contract breach a criminal offense until 1875. We develop a contracting … model generating equilibrium contract breach and prosecutions, then exploit exogenous changes in output prices to examine … prosecutions, and wages responded more to labor demand shocks. Coercive contract enforcement was applied in industrial Britain …

Governments often contract with private firms to provide public services such as health care and education. To decrease …

. If when an employer and worker establish a relationship they cannot contract on the output and profits of the worker …'s prospective new firm, the employer counters by inducing the worker to sign a contract that prohibits him from competing or …