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The Economic Research Institute, Stockholm School of Economics SSE/EFI Working Paper Series in Economics and Finance

No 458:
Credit Claiming

Amihai Glazer and Björn Segendorff

Abstract: We consider a leader and a subordinate he appoints who engage in team production. The public observes the organization’s performance, but is unable to determine the separate contributions of the leader and of the subordinate. The leader may therefore claim credit for the good work of his subordinate. We find conditions which induce the leader to claim credit (both truthfully and untruthfully), and the conditions which lead the leader to appoint a subordinate of low ability.

Keywords: Leader; Credit claiming; asymmetric information; Equilibrium; (follow links to similar papers)

JEL-Codes: C72; D72; D82; J33; (follow links to similar papers)

15 pages, August 14, 2001

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