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Quarterly Journal of Economics Vol. 78 No. 2 1964

The Theory of Contractual Incentives for Cost Reduction

F. M. Scherer

Princeton University

Abstract

I. The basic contract types, 258. — II. The contractor's profit maximization problem, 261. — III. Outlay minimization by the government as buyer, 271. — IV. Consistency with empirical evidence, 273. — V. Toward a theory of risk aversion, 276. — VI. Some broader implications, 278.

DOI
10.2307/1879326
Volume
78
Issue
2
Pages
257
Sources
openalex crossref

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