I study the interaction between optimal procurement and outsourcing of production in small industries. First, two …. Then the buyer designs the procurement mechanism and sellers who outsourced production subcontract with their respective …

The paper studies procurement contracts with pre-project investigations in the presence of adverse selection and moral …

.g., revenue maximization in auctions or cost minimization in procurement) typically calls for distortions in allocative efficiency …-enhancing hidden investment to a standard sequential screening model of procurement, and find that (1) with convex investment cost …, mitigation of allocative distortion must arise; and (2) such mitigation can even be extreme with linear investment cost---procurement …

In many auctions, the auctioneer is an agent of the seller. This delegation invites corruption. In this paper we … bidding, and how it altogether changes the revenue ranking of typical auctions. In addition we characterize incentive schemes …