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Managerial incentive contracts with a production externality

โœ Scribed by Yoon K. Choi

Book ID
116101768
Publisher
Elsevier Science
Year
1993
Tongue
English
Weight
292 KB
Volume
42
Category
Article
ISSN
0165-1765

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In a differentiated Cournot duopoly, we examine the contracts that firms' owners use to compensate their managers and the resulting output levels, profits and social welfare. If products are either sufficiently differentiated or sufficiently close substitutes, owners use Relative Performance contrac