BibTeX
@MISC{11ontransparency,
author = {},
title = {On Transparency in Organizations},
year = {2011}
}
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Abstract
Should workers be informed of the incentive schemes governing their team co-workers? Should workers be told on which performance measure they will be as-sessed? Should workers be told detailed statistics about workersattitudes in the past? This paper shows in an abstract moral hazard setup why in rich enough environments it is always strictly desirable that some aspects of the interaction be kept unknown to the workers and why it is best not to disclose the most detailed statistics about workerss attitudes in the past. Thus, full transparency is argued to be suboptimal quite generally. 1
