Responsible for the Course and Lecturer: Professor Henrik Lando
Duration: 6 days from 9-17
Date: September 29 - October 1 and October 25-27, 2004
Place: Conference room at CBS, IVS Solbjergvej 3, 4 floor, 2000 F.
Fee: 6279 DDk.
Language: English
Purpose: This course is designed for Ph.D students, who study organizational issues (in the widest sense),
and who consider including the incentive aspect in their analysis. The course introduces core ideas in
modern contract theory: the Coase-theorem, the theory of moral hazard and signalling, the theory of
incomplete contracts, and the theory of remedies for breach of contract. The student will be encouraged to
formulate aspects of his or her research questions using these ideas and concepts, and to present these
formulations in class. Part of the purpose is thus to improve the students’ ability to present, while the main
purpose is to help the student address aspects of his or her central research questions through the lenses of
the economic theory of contract.
Evaluation: Students will be asked to evaluate the course, and participation will be confirmed in writing.
Structure:
1. Before September 15, students send a description of their research project and of the incentive
aspects relevant to their project, to hl.ivs@cbs.dk.
2. From September 29 - October 1, Henrik Lando presents the core contract theoretic models
mentioned above.
3. After this mini-course, the student chooses (in collaboration with HL) a research question that can be
analysed with the help of one of the models presented. The student writes down the preliminary
results and insights of the analysis.
4. October 25-27, students present and discuss their ideas in class.
Prerequisite: Basic knowledge of microeconomics and basic familiarity with incentive theory, e.g. the theory
of moral hazard.
ECTS: 7.5
Number of participants: restricted to ten.
Literature: A list of required readings will be sent out after September 1.
Enrolment deadline: September 1. 2004
Enrolment: To Kirsten Suhr Jacobsen, phd-courses.ivs@cbs.dk stating your e-mail, Department and
University.