This paper develops a model of nonlinear pricing with competition. The novel element is that each consumer’s willingness to pay for quality is private information and is allowed to di¤er across brands. The consumer’s preferences are represented by a multidimensional type containing the marginal value of quality for di¤erent products. Buyers with high willingness to pay for quality also display ...

In this paper we determine the optimal combination of precise and vague clauses written in contracts when the parties face writing and enforcement costs, the second ones in the form of litigation. We show that the parties may prefer to write vague instead of precise clauses not only because they are cheaper to write but also because they are cheaper to enforce. We extend Battigalli and Maggi (2...

F iscal regime is one of the main differences between petroleum contracts. Fiscal regimes in oil contracts are divided to two main categories namely Concessionary and Contractual Systems. In contractual systems, the main difference between service and production sharing contracts is the way of compensation of contractor services which could be in cash or in kind. In production sharin...

Abstract This article aims to provide theoretical model for analyzing challenge of asymmetric information in the third sector of economy (which is the most important challenge, preventing the growth and development of third sector), using the theoretical foundation of contract theory and incentive theory with regard to the special characteristics of third sector derived by its special structur...

Subjective Evaluations: Discretionary Bonuses and Feedback Credibility We provide a new rationale for the use of discretionary bonuses. In a setting with unknown match qualities between a worker and a firm and subjective evaluations by the principal, bonuses are useful in order to make the feedback from the firm to the workers credible. This way workers in good matches are less inclined to acce...

Background: The pathophysiology of upper gastrointestinal (GI) symptoms is still poorly understood. Psychological symptoms were found to be more common in patients with functional gastrointestinal complaints, but it is debated whether they are primarily linked to GI symptoms or rather represent motivations for healthcare seeking. Purpose of our study was to compare co-morbidity, in particular p...

Primordial black holes (PBHs) might form from the collapse of over-densed regions generated by large scalar curvature perturbations in radiation dominated era. Despite decades various independent observations, nature dark matter (DM) remains highly puzzling. Recently, PBH DM have aroused interest since they provide an attracting explanation to merger events binary discovered LIGO/VIRGO and may ...