Teams with moral hazard and non-verifiable quality assessment

This paper shows that buying from a team of sellers can be optimal for the buyer in a static model where the buyer has private information about quality, sellers have private information about the cost and choice of effort, and quality is not contractible.

Bibliographic Details
Main Author: Saak, Alexander E.
Format: Journal Article
Language:Inglés
Published: Elsevier 2015
Subjects:
Online Access:https://hdl.handle.net/10568/150279
Description
Summary:This paper shows that buying from a team of sellers can be optimal for the buyer in a static model where the buyer has private information about quality, sellers have private information about the cost and choice of effort, and quality is not contractible.