I analyze a problem of assigning heterogeneous agents (tenants) to heterogeneous principals (landlords), where partnerships are subject to moral hazard in effort choice. The agents differ in wealth endowment and the principals differ in land quality. When the liability of each agent is limited...

I analyze a problem of assigning heterogeneous agents (tenants) to heterogeneous principals (landlords), where partnerships are subject to moral hazard in effort choice. The agents differ in wealth endowment and the principals differ in land quality. When the liability of each agent is limited...