We consider a retailer investing in two monitoring functions for unobservable demand and salesperson's effort. We show that improving effort monitoring is more effective. Moreover, demand monitoring may be less preferable when it becomes relatively cheaper and balancing these two may be worse...

Why are coordination problems common when public sector organizations share responsibilities, and what can be done to mitigate such problems? This paper uses a multi-task principal-agent model to examine two related reasons: the incentives to coordinate resource allocation and the difficulties...