Agency theory meets matching theory
Abstract
The theory of incentives and matching theory can complement each other. In particular, matching theory can be a tool for analyzing optimal incentive contracts within a general equilibrium framework. We propose several models that study the endogenous payoffs of principals and agents as a function of the characteristics of all the market participants, as well as the joint attributes of the principal–agent pairs that partner in equilibrium....
Paper Details
Title
Agency theory meets matching theory
Published Date
May 21, 2020
Journal
Volume
12
Issue
1
Pages
1 - 33
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