In this paper I examine a T-period agency model with imperfect public monitoring between a risk-neutral principal and a risk-averse agent where signals can depend on the agent's past actions and exhibit serial correlation. In this general environment, I show that near-efficiency obtains when T...

Recent advances in IT and data science give firms more flexibility to process, store and communicate the growing volume and variety of performance data at a reduced and yet significant cost. In this paper, we study the impact of this cost and flexibility on employee monitoring and the internal...

Recent technology advances have enabled firms to flexibly process and analyze sophisticated employee performance data at a reduced and yet significant cost. We develop a theory of optimal incentive contracting where the monitoring technology that governs the above procedure is part of the...