{% load otree_tags staticfiles %}
You have been randomly and anonymously paired with another player. Each of you be randomly assigned to the role of "principal" and "agent". You will learn your role before making any decision.
The principal will propose a contract to the agent. The contract is a fixed wage between 0 and 9.
Meanwhile, the agent must decide how much effort, between 0 and 9, he/she would return for every possible wage offer. The final outcome depends on the principal's wage offer and the agent's chosen effort level for this wage offer.
Effort is costly only to the agent and determines the principal's revenue. The agent's effort cost and the principal's revenue for each effort level are displayed in the table below. Below the table, the final payoffs are specified.
| Effort Level | 0 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 |
|---|---|---|---|---|---|---|---|---|---|---|
| Effort Cost | 0.00 | 0.13 | 0.52 | 1.17 | 2.08 | 3.25 | 4.68 | 6.37 | 8.32 | 10.53 |
| Principal's Revenue | 0.0 | 1.5 | 3.0 | 4.5 | 6.0 | 7.5 | 9.0 | 10.5 | 12 | 13.5 |
The principal will receive:
(Principal's Revenue) - (Wage Offer)
and the agent will receive:
(Wage Offer) - (Effort Cost)