The probability that actors in economic relationships break rules increases with the profits they thus expect to earn. It decreases with the probability and level of short- and long-term losses resulting from disclosure. It also decreases with the level of social context factors and intrinsic...

1. Problem Definition: This article explores the incentive issues and gaming behaviors of firms under risk sharing partnerships in a project management setting, motivated by real-life examples. 2. Academic/Practical relevance: Collaboration prevails in projects within diverse industries. The...

Consider an agent who can costlessly add mean-preserving noise to his output. To deter such risk-taking, the principal optimally offers a contract that makes the agent's utility concave in output. If the agent is risk-neutral and protected by limited liability, this concavity constraint binds...