Title of article
The virtue of being underestimated: a note on discriminatory contracts in hidden information models
Author/Authors
Wendelin Schnedler، نويسنده ,
Issue Information
روزنامه با شماره پیاپی سال 2002
Pages
8
From page
171
To page
178
Abstract
A standard hidden information model is considered to study the influence of the a priori productivity distribution on the optimal contract. A priori more productive (hazard rate dominant) agents work less, enjoy lower rents, but generate a higher expected surplus.
Keywords
Adverse Selection , Stochastic order relation , Statistical discrimination
Journal title
Economics Letters
Serial Year
2002
Journal title
Economics Letters
Record number
434917
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