← Search

The Economics of Career Concerns, Part I: Comparing Information Structures

Mathias Dewatripont1; Ian Jewitt2,3,4; Jean Tirole5

1 Université Libre de Bruxelles · 2 Center for Economic and Policy Research · 3 University of Bristol · 4 Clean Energy Prospector (United Kingdom) · 5 IDEI, GREMAQ, CERAS, MIT

Review of Economic Studies 1999

Many incentives in organizations arise not through explicit formal incentive contracts but rather implicitly through career concerns. This paper models career concerns through agents trying to manipulate the market assessment of their future productivity. The information flow from current actions to market assessment is therefore crucial in determining the nature of these incentives. Improved information may either increase or reduce incentives. The impact of information provides a major distinction between the explicit and implicit incentives model. The paper derives general results on comparisons of information structures which serve as counterparts to the standard results on information structures in the principal-agent model: sufficient statistic, impact of a Blackwell garbling, comparison of inclusive information structures.

DOI
10.1111/1467-937x.00084
Volume
66 (1)
Pages
183-198
Language
en
Export
BibTeX
Sources
openalex crossref