Barlo, Mehmet; Ozdogan, Ayca - Volkswirtschaftliche Fakultät, … - 2011
This study analyzes a continuous-time N-agent Brownian hidden-action model with exponential utilities, in which agents' actions jointly determine the mean and the variance of the outcome process. In order to give a theoretical justi¯cation for the use of linear contracts, as in Holmstrom and...