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This study focuses on the optimal incentive schemes in a multi-agent moral hazard model, where each agent has other-regarding preferences and an individual measure of output, with both being observable by the principal. In particular, the two agents display homo moralis preferences. I find that,...
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Optimal team composition has been the focus of exhaustive analysis, academic and otherwise. Yet, much of this analysis … has ignored possible dynamic effects: e.g., anticipating that team formation is based on prior performance will affect … work individually without monetary incentives and are then assigned to teams of two where compensation is based on team …
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