contracting clarity. Clarity refers to the extent to which the terms of a relational contract, or subjective assessment can be …

factor of the principal is her private information. I find that, in the separating contract, information revelation is always … the optimal separating contract. I find that, in the optimal contract of the "good" type, the bonus payment for high …, I show that the optimal separating contract generates higher surplus than the optimal pooling contract regardless of the …

performance measures. We show that such an index contract may indeed be optimal if performance measures are non-verifiable so that … measurements), the optimal self-enforcing (relational) contract between a principal and a multitasking agent is an index contract …. The weights reflect a trade-off between distortion and precision for the measures. The efficiency of the contract improves …