In this paper, for solving the moral hazard problem of super nodes in VOIP network and achieving better communication quality, we establish a reward mechanism based on classical efficiency-wage models. In the reward mechanism, the function of reward is to encourage super nodes to contribute their bandwidth and cover their effort costs, whereas the function of fine is to prevent opportunistic su...

Rather than “selfishness,” a more accurate and revealing interpretation of Wang’s use of siyu is “self-centeredness.” One of the main goals in Wang’s model of moral cultivation was to attain a state devoid of self-centered desires. Wang relied a great deal on the exercise and cultivation of an emotional identification and feeling of oneness with others. In this paper, I first provide a brief su...

0. Introduction Before a human being begins to make decisions and take unsupervised actions in a professional capacity which significantly affect others, s/he is usually explicitly empowered to do so, by means of some socially and/or legally sanctioned process of training and evaluation. At a time when it is being suggested that computational artifacts may take up roles with significant human i...

Following recent empirical evidence which indicates the importance of rank for the determination of workers’ wellbeing, this paper introduces status seeking preferences in the form of rank-dependent utility functions into a moral hazard framework with one firm and multiple workers, but no correlation in production. We show that workers’ concern for the rank of their wage in the firm’s wage dist...

Article history: Received 14 September 2010 Available online 22 August 2013 JEL classification: D86