This paper studies the effect of timing and commitment of verification in a principal-agent relationship with moral … the time of contracting. The main contribution of this paper is to highlight the importance of commitment by the principal …

reveals that the agent took an action not allowed by the terms of the contract. When such commitment is infeasible and in …

We study a discrete-time model of repeated moral hazard without commitment. In every period, a principal finances a … the returns of a successful project unbeknownst the principal. The absence of commitment is reflected both in the solution … period to the next. We show that removing commitment from the equilibrium concept is relatively innocuous -- if the players …