There exists the problem of information asymmetry among the participants in construction project who form economic partnerships one another. Information asymmetries among the participants in construction project places a premium on adverse selection and moral hazard. The major objective of this article is to implement the mechanisms of incentive and monitoring under the framework of principal-a...

We study the effects of improvements in eBay’s rating mechanism on seller exit and continuing sellers’ behavior. Following a large sample of sellers over time, we exploit the fact that the rating mechanism was changed to reduce strategic bias in buyer rating. That improvement did not lead to increased exit of poorly rated sellers. Yet, buyer valuation of the staying sellers—especially the poorl...

An example of a sender-receiver game, due to Farrell, is studied to illustrate the role of incentive constraints in the design of optimal communication systems between rational individuals whose interests are not the same. Some noise in the communication system is essential for substantive communication. Informational and strategic incentive constraints are linear, so finding an optimal incenti...

This essay is an inquiry into the fundamentals of contemporary liberalism. I defend the following claim: the premises of contemporary liberal theory cannot avoid referring to the ideal of equality of individuals in some way. equality is a principle to orga­ nize the fundamental level of the theory from which to derive the principles for organi­ zing liberal institutions. To support these claims...

In this paper we consider a repeated interaction between a manufacturing rm and a subcontractor. The moral hazard problem present in this relationship is aggravated by the fact that both parties do not have perfect knowledge about the base cost level of the project carried out by the subcontractor but only have identical a priori beliefs. Short term and long term contracts are compared in a two...

Researchers have attempted to integrate the fields of management and ethics for the past 50 years. Although the moral aspects of knowledge management have been studied, its philosophical attitude has been overshadowed. This work designs a philosophical background—in moral philosophy—for public knowledge management. To achieve the research goal, the relationships between human critical success f...

Over the past several years those who are opposed to some of the policies of the Israeli government, or even to the existence of the State, have proposed an academic boycott of Israel as one of the weapons in their campaign. In this article I want to consider whether the use of this weapon can be justified. In all moral discourse questions about justification have to be universalisable, so to d...

This introduces the symposium on sunspots and lotteries. Two stochastic generalequilibrium concepts, sunspot equilibrium (SE) and lottery equilibrium (LE), are compared. It is shown that, for some general, pure-exchange economies which allow for consumption nonconvexities or moral hazards, the set of LE allocations is equivalent to the set of SE allocations provided that the randomizing device ...

This paper investigates whether moral status talk gets us anywhere in our search for answers to questions in the ethics of marginal cases. I consider the usefulness of moral status talk first on the assumption that an individual’s possession of moral status is not a further fact about that individual, and then on the assumption that it is. Finally, I offer an expressivistic interpretation of mo...