Dye, Ronald A.; Sridhar, Sri S. - In: RAND Journal of Economics 36 (2005) 1, pp. 78-92
In an agency setting where the agent must be compensated both to exert effort to produce a new project and to announce honestly when the new project has been produced, we show that Holmstrom's (1979) well-known "informativeness criterion" does not, by itself, determine whether a variable is...