Credibility and Monitoring: Outsourcing as a Commitment Device
Credibility and Monitoring: Outsourcing as a Commitment Device
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可信度和监控:外包作为承诺手段
DOI:
10.1111/j.1530-9134.2011.00327.x
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发表时间:
2012
期刊:
影响因子:
--
通讯作者:
Demougin
中科院分区:
文献类型:
--
作者:
Bental;Deffains;Demougin
We analyze an environment plagued by double moral hazard where the agent’s effort level and the principal’s precision in monitoring are not contractible. In such an environment, the principal tends to over‐monitor thereby inducing low effort. To ease the latter problem, the principal may choose to increase monitoring costs by outsourcing the activity. As a result equilibrium monitoring is reduced and incentives become more powerful. This choice is particularly likely when the worker’s effort is an important factor in determining output.
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