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Formulating Principal-Agent Service Contracts for a Revenue Generating Unit

Formulating Principal-Agent Service Contracts for a Revenue Generating Unit PDF Author: Shuo Zeng
Publisher: Springer
ISBN: 3319186728
Category : Business & Economics
Languages : en
Pages : 134

Book Description
This book examines contractual options for a performance based contract between an owner of a revenue generating unit and a repair agent for such unit. The framework of the analysis is that of economists' principal-agent problem. The contractual options of a principal and an agent are modeled as a Markov process with an undetermined time horizon. For a risk neutral principal, the authors identify the conditions under which a principal contracts with a risk-neutral, risk-averse, or risk-seeking agent and derive the principal's optimal offer together with the agent's optimal service capacity response. In essence, the book provides an extensive formulating analysis of principal-agent contracts given any exogenous parameter values. Ultimately a small number of formulas cover a large spectrum of principal-agent conditions.

Formulating Principal-Agent Service Contracts for a Revenue Generating Unit

Formulating Principal-Agent Service Contracts for a Revenue Generating Unit PDF Author: Shuo Zeng
Publisher: Springer
ISBN: 3319186728
Category : Business & Economics
Languages : en
Pages : 134

Book Description
This book examines contractual options for a performance based contract between an owner of a revenue generating unit and a repair agent for such unit. The framework of the analysis is that of economists' principal-agent problem. The contractual options of a principal and an agent are modeled as a Markov process with an undetermined time horizon. For a risk neutral principal, the authors identify the conditions under which a principal contracts with a risk-neutral, risk-averse, or risk-seeking agent and derive the principal's optimal offer together with the agent's optimal service capacity response. In essence, the book provides an extensive formulating analysis of principal-agent contracts given any exogenous parameter values. Ultimately a small number of formulas cover a large spectrum of principal-agent conditions.

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Book Description
In this book, internationally renowned scholars and practitioners elaborate on political as well as managerial questions, e.g. how to make overriding Public Governance changes the ’guiding model’ for a now needed stronger strategic approach. More specifically, their focus is on how moves towards a re-positioning as an enabling authority are to be made drivers for adapting management systems across all levels. In accordance with present developments, the authors explain how changes in the overall governance structure have to be used to adapt leadership practices in a more output-oriented or even entrepreneurial fashion. Overall, the underlying idea is to provide some further basics for a public sector type of a design-oriented management science.

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