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A note on the value of information given asymmetric information and self-reporting
Journal article   Peer reviewed

A note on the value of information given asymmetric information and self-reporting

MARK Penno
Contemporary accounting research, Vol.3(2), pp.368-374
1987
DOI: 10.1111/j.1911-3846.1987.tb00643.x

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Abstract

This note demonstrates purely statistical conditions under which a monitor will be valuable in the presence of predecision asymmetric information and self-reporting. This result is an extension of the information value results found for principal-agent problems with symmetric information.

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