This course develops tools from information economics to study the strategic interactions between different agents inside a firm. Common to these studies is that agents acquire private information that is valuable to other parties. The range of applications includes: centralization vs delegation, static and dynamic contracting under moral hazard, Bayesian persuasion, and the optimal design of monitoring/auditing mechanisms.
3 units · GSB Letter Graded
This course develops tools from information economics to study the strategic interactions between different agents inside a firm. Common to these studies is that agents acquire private information that is valuable to other parties. The range of applications includes: centralization vs delegation, static and dynamic contracting under moral hazard, Bayesian persuasion, and the optimal design of monitoring/auditing mechanisms.
Offered in Spring 2027 at Stanford University.