We study an economy with competitive commodity markets and exclusive pairwise contractual relations with moral hazard, where both the principal and the agent can be risk averse. We show existence of equilibria and their generic constrained suboptimality,
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Paper provided by Carnegie Mellon University, Tepper School of Business in its series GSIA Working Papers with number
136.
Length: Date of creation: Dec 1997 Date of revision: Handle: RePEc:cmu:gsiawp:136
Contact details of provider: Postal: Tepper School of Business, Carnegie Mellon University, 5000 Forbes Avenue, Pittsburgh, PA 15213-3890 Web page: http://www.tepper.cmu.edu/
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