An Introduction to Moral Hazard, Adverse Selection

and Signalling


Course Outline

Readings:

Milgrom and Roberts "Chapter 7"
Holmstrom and Milgrom "Multitask Principal Agency"

Allen and Lueck ``Contract Choice''
Allen and Borchers "Conservation Practices"
Allen ``What Does She See In Him.''
  Botticini and Siow ``Why Doweries?''

Ackerlof "The Market for Lemons"
Klein and Leffler ``The Role of Market Performance in Assuring Quality''

Allen "The British Navy Rules"
Andolfatto `` A Theory of Inalienable Property Rights.''

Spence "Job Market Signalling" 
Allen  "Pot Bellies" 
Allen and Reed "The Duel of Honor"