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ContractTheory(WS20023/2004)-1-Prof.Dr.KlausM.SchmidtReadingListThissyllabuslistsmanymorepapersthanwecandiscussinclass.However,Iintendtomentionallstareditemsatleastbriefly.Allitemswithtwostarsormorewillbediscussedinmoredetail.Thepaperswiththreestarsarehighlyrecommendedforyourownreading.Chapters7to10listsomereferencesforthestudentpresentations.Thepaperswiththreestarswillbepresentedindetail.1.BooksandSurveys***Hart,O.,1995,Firms,Contracts,andFinancialStructure,Oxford:ClarendonPress.**Hart,O.andB.HolmstromÄ,1987,\TheTheoryofContracts",inT.Bewley(ed.),AdvancesinEconomicTheory,Cambridge:CambridgeUniversityPress.***Laffont,J.J.andD.Martimort,2002,TheTheoryofIncentives:ThePrincipalAgentModel,Princeton,NY:PrincetonUniversityPress.**Laffont,J.J.andJ.Tirole,1993,ATheoryofRegulationandProcurement,Cam-bridge(Mass.):MIT-Press.*Mas-Colell,A.,Whiston,M.,andJerryR.Green,1995,MicroeconomicThe-ory,OxfordUniversityPress:Oxford1995,Chapters13,14and23.*Milgrom,P.andJ.Roberts,1992,Economics,OrganizationandManagement,EnglewoodCli®s,NewJersey:PrenticeHall.*Prendergast,Canice,1999,\TheProvisionofIncentivesinFirms",JournalofEco-nomicLiterature,Vol.37,7-63.*Salanie,¶Bernard,1997,TheEconomicsofContracts,Cambrdige,MA:MIT-Press.***Schmidt,K.M.,1995,Skript:Vertragstheorie,unpublishedmanusscript,Munich(inparticularchapters1-4,6,and7).*Schweizer,Urs,1999,Vertragstheorie,TÄubingen:MohrSiebeck.*Williamson,O.,1985,TheEconomicInstitutionsofCapitalism,NewYork:FreePress.2StaticMoralHazardModels*Fudenberg,D.andJ.Tirole,1990,\MoralHazardandRenegotiationinAgencyContracts",Econometrica,Vol.58,1279-1319.***Grossman,S.andO.Hart,1983,\AnAnalysisofthePrincipal-AgentProblem",Econometrica,Vol.51,7-45.ContractTheory(WS20023/2004)-2-Prof.Dr.KlausM.Schmidt**Hermalin,B.andM.Katz,1991,\MoralHazardandVeri¯ability",Econometrica,Vol.59,1735-1754.**Holmstrom,ÄB.,1979,\MoralHazardandObservability",BellJournalofEconomics,Vol.10,74-91.***Holmstrom,ÄB.,1982,\MoralHazardinTeams",Bell