Showing 181 - 190 of 244
This paper studies optimal executive pay when the CEO is concerned about fairness: if his wage falls below a perceived fair share of output, the CEO suffers disutility that is increasing in the discrepancy. Fairness concerns do not lead to fair wages always being paid -- to induce effort, the...
Persistent link: https://www.econbiz.de/10014235868
Persistent link: https://www.econbiz.de/10014413965
Persistent link: https://www.econbiz.de/10015155902
We study a principal-agent model with moral hazard and adverse selection. Risk-neutral agents with limited liability have arbitrary private information about the distribution of outputs and the cost of effort. We show that under a multiplicative separability condition, the optimal mechanism...
Persistent link: https://www.econbiz.de/10013327130
Existing theories of debt consider a single contractible performance measure ("output"). In reality, many other performance signals are also available. It may seem that debt is no longer optimal; for example, if the signals are sufficiently positive, the agent should receive a payment even if...
Persistent link: https://www.econbiz.de/10013215609
Persistent link: https://www.econbiz.de/10009349136
Persistent link: https://www.econbiz.de/10010219967
Persistent link: https://www.econbiz.de/10009683400
Persistent link: https://www.econbiz.de/10010415381
Persistent link: https://www.econbiz.de/10010416715