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Recent theoretical work on agricultural contracts has utilized agency theory. Most of this work considers a moral … sample of producer performance under a broiler production contract to confirm that heterogeneity exists. We model the …
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, we exploit an exogenous change in the contract structure in 2003, the piece rate increasing from 20.2 to 22.9 euros. We …
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. Theoretical results indicate that the specification contract under the principal-agent framework is of limited utility due to …
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I study the properties of optimal long-term contracts in an environment in which the agent's type evolves stochastically over time. The model stylizes a buyer-seller relationship but the results apply quite naturally to many contractual situations including regulation and optimal...
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