In this article, a dynamic Principal–Agent model with discrete actions is analysed from a Multi-Objective optimization framework. As a result, a concave Pareto Frontier is numerically approximated. The concavity of the Pareto Frontier is a consequence of the information asymmetry between the...

In this paper we analyze a repeated Principal Agent model, formulated as a Multi-Objective Optimization problem. We approximate its Pareto Frontier by using a recently proposed Multi-Objective Optimization Evolutionary Algorithm named RankMOEA. We focus on the effects of changes of productivity...

In this paper we analyze a repeated Principal Agent model, formulated as a Multi-Objective Optimization problem. We approximate its Pareto Frontier by using a recently proposed Multi-Objective Optimization Evolutionary Algorithm named RankMOEA. We focus on the effects of changes of productivity...

In this paper we formulate an infinitely repeated Principal-Agent relationship as a Multi-Objective Optimization problem. We numerically approximate the solution of this model using a Multi-Objective Optimization Evolutionary Algorithm, named RankMOEA, for different values of the Agent's...

In this paper we formulate an infinitely repeated Principal-Agent relationship as a Multi-Objective Optimization problem. We numerically approximate the solution of this model using a Multi-Objective Optimization Evolutionary Algorithm, named RankMOEA, for different values of the Agent's...

We analyze a situation where a Principal does not necessarily have all the bargaining power while negotiating a contract with an Agent by studying a dynamic multi-objective moral hazard model with hidden action. We .nd that the structure of the optimal contracts change along the Pareto Frontier,...

We use Evolutionary Algorithms to approximate the Pareto frontier of a dynamic Principal-Agent model with discrete actions. The Pareto frontier that we obtain is concave, a result that is due to the asymmetry of information between the Principal and the Agent. As we move in the Pareto frontier...

In this article, we evaluate the relationship and the interaction between financial development, grades of cooperation, in terms of trust and reciprocity, and participation in social networks of the members of a savings and loan association. We used exchanged money quantities according to the...

We study the problem of an investor that buys an equity stake in a entrepreneurial venture, under the assumption that the former cannot monitor the latter’s operations. The dynamics implied by the optimal incentive scheme is rich and quite different from that induced by other models of...

The coexistence of formal and informal suppliers of credit in a market generates the need of analyzing how those suppliers interact to satisfy the households’ demand of financial services. The objective of such analysis is the identification of an institutional design that allows the deepening...