Barigozzi, Francesca; Burani, Nadia - 2013
productive ability nor the intrinsic motivation of the job applicant. We completely characterize the set of optimal contracts … according to whether motivation or ability is the main determinant of the worker's performance. We show that it is always in the …, when motivation is very high, incentives force the firm to pay higher informational rents, to increase effort distorsions …