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Should principals explain and justify their evaluations? Suppose the principal's evaluation is private information, but she can provide justification by sending a costly cheap-talk message. If she does not provide justification, her message space is restricted, but the message is costless. I...
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’ metering’ problem when the principal contracts with multiple agents for the supply of feedstock. Alternative arrangements …
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managers and convex compensation contracts. We show that convex incentives lead to significant equilibrium mispricing, but …
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