动态成本和道德风险：对偶方法

Dynamic costs and moral hazard: A duality-based approach

《Journal of Economic Theory》2016.08.002      作者：Guy Arie

内容摘要：The marginal cost of effort often increases as effort is exerted. In a dynamic moral hazard setting, dynamically increasing costs create information asymmetry. This paper characterizes the optimal contract and helps explain the popular yet thus far puzzling use of non-linear incentives, for example, in sales-force compensation. The result is obtained by complementing the standard dynamic program with a novel dynamic dual formulation. The dual program is monotonic and sub-modular, providing stronger results, including a proof for the sufficiency of one-shot deviations.

关键词：Dynamic moral hazard，Nonlinear incentives，Private information， Dynamic mechanism design Duality