labor market conditions We usually have diffieulty writing long term contraets. Suppose a manager is known to the labor market and has a reputation (good or bad). The employer eannot write an iron-clad long-term contraet, and instead the parties periodically renegotiate, with knowledge of the manager' s then current market value. How do the market forces help and how do they impede the strueturing of a well-funetioning employment relationship?

AppendixLO1