We consider a principal who wishes to screen an agent with discrete types by offering a menu of discrete quantities and discrete transfers. We assume that the principal's valuation is discrete strictly concave and use a discrete first-order approach. We model the agent's cost types as...

Does studying mainstream microeconomics cause individuals to behave more like the textbook version of homo economicus ? Most studies suggesting a positive answer have used student samples and focused on self‐interested behaviors in collective dilemma situations. In our study, we conducted an...