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This paper examines the optimal compensation scheme, job design, and severance policy for a team using a model of … severance policy facilitates the adoption of team incentives and team-based production by making it cost-effective to implement …
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R&D investment spending exhibits a delayed and hump-shaped response to shocks. We show in a simple partial equilibrium model that rapidly adjusting R&D investment is costly if the probability of converting new hires into productive R&D workers ("onboarding") is decreasing in the number of new...
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