Observability and endogenous organizations (2016)
- Authors:
- Autor USP: MADEIRA, GABRIEL DE ABREU - FEA
- Unidade: FEA
- DOI: 10.1007/s00199-016-0959-2
- Subjects: ORGANIZAÇÃO INDUSTRIAL; COMPETÊNCIA ORGANIZACIONAL
- Language: Inglês
- Abstract: This paper establishes a relationship between the observability of common shocks and optimal organizational design in a multiagent moral hazard environment. We consider two types of organizations, namely relative performance and cooperative regimes, and show that, with sufficient information regarding common shocks, a cooperative organization can be optimal even if outputs are highly correlated. The model is then embedded in a Walrasian general equilibrium model in which choices regarding organizations and investment in information on common shocks are jointly determined. Numerical results reveal that both cooperative and relative performance regimes can coexist in equilibrium but only cooperative organizations invest in full observability of common shocks. Changes in the cost of information and aggregate wealth can affect substantially the types of organizations operating and the matching patterns of heterogeneous agents in these organizations. General equilibrium effects are key in determining how information costs impact the way production is organized
- Imprenta:
- Source:
- Título do periódico: Economic Theory
- ISSN: 1432-0479
- Volume/Número/Paginação/Ano: v. 63, p. 1-33, 2016
- Este periódico é de assinatura
- Este artigo é de acesso aberto
- URL de acesso aberto
- Cor do Acesso Aberto: green
-
ABNT
KILENTHONG, Weerachart T e MADEIRA, Gabriel de Abreu. Observability and endogenous organizations. Economic Theory, v. 63, p. 1-33, 2016Tradução . . Disponível em: https://doi.org/10.1007/s00199-016-0959-2. Acesso em: 16 abr. 2024. -
APA
Kilenthong, W. T., & Madeira, G. de A. (2016). Observability and endogenous organizations. Economic Theory, 63, 1-33. doi:10.1007/s00199-016-0959-2 -
NLM
Kilenthong WT, Madeira G de A. Observability and endogenous organizations [Internet]. Economic Theory. 2016 ; 63 1-33.[citado 2024 abr. 16 ] Available from: https://doi.org/10.1007/s00199-016-0959-2 -
Vancouver
Kilenthong WT, Madeira G de A. Observability and endogenous organizations [Internet]. Economic Theory. 2016 ; 63 1-33.[citado 2024 abr. 16 ] Available from: https://doi.org/10.1007/s00199-016-0959-2 - Música e pirataria na Universidade: um estudo empírico
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Informações sobre o DOI: 10.1007/s00199-016-0959-2 (Fonte: oaDOI API)
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