This paper studies the optimal managerial compensation when the shareholders may invest in private protection to reinforce their protection. The optimal contract exhibits three tolls: the wage, the level of dividends (which is equivalent to the level of diversion) and the level of private...

This paper studies the optimal pricings of a congestible good when users are privately informed both on the valuation of the good and on their unit waiting costs. Hence, conflicts appear between incentives and individual rationality. We show that the textbook price is higher than that of the...