I analyze a model in which a principal offers a contract to an agent and can influence the agent’s marginal return of …

preponderance-of-the-evidence to determine whether the agent acted in accordance with the contract. In the second method, the court … adopts a substantive approach, treating the original contract as incomplete, thus rendering a decision based on what it … believes the parties would have agreed upon had they been able to complete the contract ahead of time. From an efficiency …

derive the optimal contract for both experimentation and production when the agent has private information about his … asymmetric information is endogenously determined by the length of the experimentation stage. An optimal contract uses the length …

This paper analyses bargaining over an incentive compatible contract in a moral hazard framework. We introduce the … bargaining power, the contract in the Kalai-Smorodinsky solution yields a more efficient outcome and induces more effort. The …

that hardly explains the many features of an insurance contract. We extend this setup to include the situation that the … costlessly observable, then it should be included in the contract to improve the risk sharing-incentive trade-off under moral … resulting incompleteness of the contract opens the door to controversies and disputes that may lead to judicial procedures. We …