Major Field of Study |
Subject |
Subject in Charge |
Economic Theory |
Studies in Applied Microeconomics |
Moriki Hosoe |
The course aims to provide an understanding of the economic theories of incentives and information. Economic agents often have different information regarding completed transactions. Agents hide their actions from other agents. Secretive agents need to be induced to make decisions based on sound morality. And agents with hidden types need to be induced to reveal their types to avoid adverse selection. In this course, we will focus on the general structure of incentive problems and contract design and apply basic theories to employee compensation, sharecropping, financial contracts and signalling through education, the insurance market, and advertisements.
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