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Keywords: non-verifiable performance measures
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Journal Articles
The Accounting Review (2020) 95 (6): 181–212.
Published: 01 November 2020
...) contracts in which the optimal contract resembles a bonus pool. It specifies a minimum joint bonus floor the principal is required to pay out to the agents, and gives the principal discretion to use non-verifiable performance measures to both increase the size of the pool and to allocate the pool...