Overstatement and rational market expectation

Citations

SCOPUS

4

초록

When an agent overstates his/her true performance, a rational market can still correctly guess the true performance. This paper shows, however, that such rational market expectation and a profit-maximizing principal can exacerbate the lack of productive effort by the agent.

키워드

OverstatementRational expectationMoral hazard
제목
Overstatement and rational market expectation
저자
Kwon, IlloongYeo, Eunjung
발행일
2009-07
저널명
Economics Letters
104
1
페이지
9 ~ 12