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This Element presents a simple contracting model that captures the role of equity as a safety valve, and shows how it can solve problems posed by opportunists. It also shows that it is often preferable to limit equity, reserving it for use only against those who appear sufficiently likely to be opportunists.
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A Safety Valve Model of Equity as Anti-opportunism, Kenneth Ayotte, Ezra Friedman
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- Pubblicato
- 2023
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