We study the effect of earnings manipulation on incentives within the corporate hierarchy. When top management … of their own divisions is low. Earnings manipulation therefore undermines division managers’ incentives to exert effort …

We study the effect of earnings manipulation on incentives within the corporate hierarchy. When top management … of their own divisions is low. Earnings manipulation therefore undermines division managers’ incentives to exert effort …

systematic violation of expected utility theory. We propose a model in which a well-known failure of expected utility – captured … connection between two well-known behavioural regularities, one in individual decision theory and another in the social …

This Paper studies the provision of incentives in a large US training organization, which is divided into about 50 …

An important lesson from the incentive literature is that explicit incentives may elicit dysfunctional and unintended …

This Paper examines optimal incentives and performance measurement in a setting where an agent has specific knowledge … choice of performance measures and incentives depends on the agent’s knowledge, environmental risk, technological uncertainty …, and job complexity. The theory leads to several novel predictions, as well as new explanations for existing empirical …

We investigate a team setting in which workers have different degrees of commitment to the outcome of their work. We … show that if there are complementarities in production and if the team manager has some information about team members … identifies that team governance is driven by the importance of tasks that cannot be monitored. The more important these tasks …