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Incentive schemes affect performance and priorities of agents but, in reality, they can be complicated even for simple tasks. We analyze the effects of the salience of incentives in a team production setting where the principal has an interest in quantity and quality of output. We use data from...
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We characterize optimal incentive contracts in a moral hazard framework extended in two directions. First, after effort provision, the agent is free to leave and pursue some ex-post outside option. Second, the value of this outside option is increasing in effort, and hence endogenous. Optimal...
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This volume is based on papers delivered at the second CESifo-Delphi Conferences (Munich, November 2003, and Delphi …, June 2004), which are jointly organized by CESifo and the Department of International and European Economic Studies of the … Athens University of Economics and Business. The CESifo-Delphi Conferences are organized every two years and involve a two …
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