Sentence examples for contract incomplete from inspiring English sources

Both types of transactions cost may be high, but when there is a high level of uncertainty about relevant events there may be a trade-off between the two: the costs of making contracts may be reduced by not attempting fully to specify contingencies, leaving a contract incomplete and necessitating renegotiation (leading to ex post transactions costs) to accommodate events left out of the contract.

Furthermore, we can see that the relay gains more revenue from the optimal contract under incomplete information.

In vertical relationships, when a contract is incomplete, underinvestment problems can arise because a seller's sunk investment costs are ignored in ex post negotiation with a buyer.

We first consider the complete information scenario as a benchmark and analyze the feasibility and optimality of contract under incomplete information.

We have also analyzed the feasibility and optimality of the feasible contract under incomplete information and we have derived the best variable assignment and the best price assignment.

In Figure 6, we can see that the relay gains more revenue from the optimal contract under incomplete information, at the expense of social surplus decreasing caused by the dropping out of low type sources.

According to the revelation principle [15], for any feasible contract of incomplete information, there exists a payoff-equivalent revelation mechanism that enables the sources to truthfully report their types.

However, for an optimal contract under incomplete information in both cases A and B, the average data rate is zero when instant transmission rate θ is small, while when instant transmission rate θ is big, it is bigger than that of optimal contract under complete information result from the changing of the transmission time ratio assignments.

"We conclude," the report says, "that PPP should not proceed" unless "it meets much more rigorous safety and value criteria, and if it is substantially amended to protect against the risk that contracts are incomplete and overgenerous".

The contracts are incomplete in their inability to specify comprehensive state contingent provisions.

The curves with square and cross denote the optimal transmission time ratio assignments q sb in the optimal contracts under incomplete information for scenarios A and B, respectively.