This dissertation extends the typical shirking model of efficiency wages to a continuum of effort levels. The generalisation totally overturns earlier intuitions. Specifically, the characteristic feature of the earlier theory that monitoring and pay are substitute tools for inspiring workers, no more
Correct usage of a firm’s resources are crucial for the firm’s survival. Companies usually have formalized procedures for calculations of the profitability of investment projects. On the other hand is the corporate strategy, directing the company activities, determining how company resources should
The dissertation develops a theoretical model to examine the effects of limited liability contracting on learning-by-doing and capital investment within a new agricultural industry. The theoretical model applies to many new bio-based industries, where novel crops are being used to produce goods,