We consider a partnership game with two roles in which a large population of firms interact to carry out, say, R&D joint ventures. The partners have to build a common-property asset through a sequence of costly investments. Firms have access to a monitoring technology whose cost depends on the...

Corporations allocate to their corporate governance structures authority over a large part of the transactions they carry out, both regulated by (incomplete) labour contracts or by (incomplete) arm's length contracts. These contracts, as the eventuality of unforeseen contingencies is...

Apology is a social institution used to restore frayed relationships. It is relevant in daily interactions but also in medical malpractice, political reputation, corporate culture, etc. The theory presented shows that in a general class of moral hazard games with imperfect information about...

This paper studies the role of contested ownership in a situation where two players have to make a transaction-specific investment and when contracts are incomplete. It compares contested ownership to the various ex ante ownership structures typically discussed in the literature (following the...

Altruists and envious people who meet in contests are symbionts. They do better than a population of narrowly rational individuals. If there are only altruists and envious individuals, a particular mixture of altruists and envious individuals is evolutionarily stable.

Questions about compensation structures and incentive effects of pay-for-performance components are important for firms' Human Resource Management as well as for economics in general and labor economics in particular. This paper provides scarce insider econometric evidence on the structure and...

Questions about compensation structures and incentive effects of pay-for-performance components are important for firms' Human Resource Management as well as for economics in general and labor economics in particular. This paper provides scarce insider econometric evidence on the structure and...

Questions about compensation structures and incentive effects of pay-for-performance components are important for firms' Human Resource Management as well as for economics in general and labor economics in particular. This paper provides scarce insider econometric evidence on the structure and...

From a negligible market niche in the entertainment industry, video game publishing has become extremely profitable. The emergence of the video game digital distribution platforms has established a permanent connection between the player and the publisher, making it possible to expand the offer....

Why does individual performance pay seem to prevail in human capital intensive industries? We present a model that may explain this. In a repeated game model of relational contracting, we analyze the conditions for implementing peer dependent incentive regimes when agents possess indispensable...