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We study the effects of reputation and competition in a stylized market for experience goods. If interaction is … identifiable and can, hence, build a reputation, efficiency quadruples but is still at only a third of the first best. Adding more …
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In recent decades, many firms offered more discretion to their employees, often increasing the productivity of effort but also leaving more opportunities for shirking. These "high-performance work systems" are difficult to understand in terms of standard moral hazard models. We show...
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In recent decades, many firms offered more discretion to their employees, often increasing the productivity of effort but also leaving more opportunities for shirking. These "high-performance work systems" are difficult to understand in terms of standard moral hazard models. We show...
Persistent link: https://www.econbiz.de/10003951888