Gershkov, Alex, Li, Jianpei and Schweinzer, Paul orcid.org/0000-0002-6437-7224 (2014) How to share it out:the value of information in teams. Working Paper. DERS Discussion Papers in Economics . Department of Economics and Related Studies, University of York , York.
Abstract
We study the role of information exchange, leadership and coordination in team or partnership structures. For this purpose, we view individuals jointly engaging in productive processes -- a 'team' -- as endowed with individual and privately held information on the joint production process. Once individual information is shared, team members decide individually on the effort they exert in the joint production process. This effort, however, is not contractible; only the joint output (or profit) of the team can be observed. Our central question is whether or not incentives can be provided to a team in this environment such that team members communicate their private information and exert efficient productive efforts on the basis of this communication. Our main result shows that there exists a simple ranking-based contract which implements both desiderata in a wide set of situations.
Metadata
Item Type: | Monograph |
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Authors/Creators: |
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Copyright, Publisher and Additional Information: | Working paper has been published in Journal of Economic Theory, no significant changes to the text. https://www.sciencedirect.com/science/article/pii/S0022053115002240 |
Keywords: | Moral hazard,Adverse selection,Leadership,Teams |
Dates: |
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Institution: | The University of York |
Academic Units: | The University of York > Faculty of Social Sciences (York) > Economics and Related Studies (York) |
Depositing User: | Pure (York) |
Date Deposited: | 24 Jul 2014 10:22 |
Last Modified: | 14 Nov 2024 00:39 |
Status: | Published |
Publisher: | Department of Economics and Related Studies, University of York |
Series Name: | DERS Discussion Papers in Economics |
Related URLs: | |
Open Archives Initiative ID (OAI ID): | oai:eprints.whiterose.ac.uk:79817 |
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