Handicaps to improve reputation

Amihai Glazer

Journal of Theoretical Politics, 2015, vol. 27, issue 3, 485-496

Abstract: An agent may be able to address a task at different times, with the state of nature more favorable to the task in some periods than in others. Success on a task will therefore more greatly improve the agent’s reputation if he is constrained in choosing when to address the task than if he enjoys flexibility in timing. These considerations can explain why presidents emphasize achievements in their first 100 days in office, and why performance of the economy in only some periods of a president’s term affect elections.

Keywords: Reputation; principal-agent; policy making (search for similar items in EconPapers)
Date: 2015
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Persistent link: https://EconPapers.repec.org/RePEc:sae:jothpo:v:27:y:2015:i:3:p:485-496

DOI: 10.1177/0951629814556172

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