Ajmi, Hechem; Abd Aziz, Hassaneddeen; Kassim, Salina; … - In: International Journal of Islamic and Middle Eastern … 12 (2019) 4, pp. 532-552
Purpose: The purpose of this paper is to determine the optimal profit-and-loss sharing (PLS)-based contract when market frictions occur. Design/methodology/approach: This paper opts for an adverse selection analysis and Monte Carlo simulation to assess the less risky contract for the principal...