We propose to evaluate Lei do Bem (law 11.196/05) for Brazilian regions (North, Northeast, Center-West, Southeast and South). This is the first study that analyzes using extensive game simulations different of country. Based on data from 2006 2015, we find moral hazard between government innovative companies, as there was no express incentive in stimulate industrial sector innovate register inn...

We investigate a principal-agent model featured with unknown agent ability. Under the exponential utilities, necessary and sufficient conditions of incentive contract are derived by utilizing martingale variational methods, solutions optimal contracts obtained using stochastic maximum principle. The ability uncertainty reduces principal's provision. It is shown that...