ISSN 1842-4562
Member of DOAJ

Hazard Moral Models with Three States of Nature


Daniela MARINESCU
Dumitru MIRON
Dumitru MARIN


Keywords

moral hazard, asymmetric information, informational rents, optimal contract

Abstract

The paper analyses a moral hazard model with three states of nature. The model is solved using as variables the informational rents and effort levels. Finally, we determine the features of the optimal contracts in asymmetric information.



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