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Endogenous Matching and the Empirical Determinants of Contract Form

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  • Ackerberg, D.A.
  • Botticini, M.

Abstract

Theoretical framework on contracts often identifies an "optimal" contract as a function of the characteristics of the principal and agent who are contracting. Correspondingly, empirical work on contracts often regresses contract form on observed (by the econometrician) characteristics of the principal and agent. This paper examines the econometric implications when some of the theoretically relevant characteristics are partially observed (e.g. proxied) or unobserved.

Suggested Citation

  • Ackerberg, D.A. & Botticini, M., 1999. "Endogenous Matching and the Empirical Determinants of Contract Form," Papers 96, Boston University - Department of Economics.
  • Handle: RePEc:fth:bostec:96
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    More about this item

    Keywords

    CONTRACTS ; ECONOMETRICS ; ECONOMIC MODELS;
    All these keywords.

    JEL classification:

    • C50 - Mathematical and Quantitative Methods - - Econometric Modeling - - - General

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