these societies have access to different amounts of information. This lack of information makes it hard to give the right … incentives to managers and entrepreneurs. We argue that differences in the amount of information arise because of the differences … poor economies, thus insufficient information to set the appropriate standards for firm performance. Our model predicts a …

introduced by the presence of moral hazard naturally depends on the information structure in the economy; it is cheaper to induce … correct incentives in a society which possesses better ex-post information. The degree of ex-post information depends on the … number of projects and entrepreneurs in the economy; the more projects, the better the information. This implies that in the …

these societies have access to different amounts of information. The lack of information in less developped economies makes … information have a variety of sources. As well as factors related to the informational infrastructure, we emphasize that societies … accumulate information by repeating certain tasks. Poor societies may therefore have less information partly because the scarcity …

introduced by the presence of moral hazard naturally depends on the information structure in the economy; it is cheaper to induce … correct incentives in a society which posesses better ex post information. The degree of ex post information depends on the … number of projects and entrepreneurs in the economy; the more projects, the better the information. This implies that at the …

differ as these societies have access to different amounts of information. This lack of information makes it hard to give the … right incentives to managers and entrepreneurs. We argue that differences in the amount of information arise because of the … poor economies, thus insufficient information to set the appropriate standards for firm performance. The model predicts a …