A plot of land is owned lav a Landlord but worked by a Tenant. The Tenant has an alternative job in the manufacturing sector that pays \"LU per hour worked. Thus, if she provides H hours to farm the land. she incurs an opportunity cost wII. The value of output from the plot is given by the production function x/II + 10 with probability 0. 5 x/H 10 with probability 0. 5 where random variation in output are due to climatic conditions. The Landlord is risk" neutral. but the Tenant is risk-averse with a \"coefficient of risk aversion" given bv 0.5. The Landlord can observe the output produced lav the Tenant, but cannot observe or infer the hours of effort she exerts. The Landlord offers a sha re-cropping contract consisting of an output share going to the Tenant. 5. and a fixed pavment. R. if R 2 0. this can be interpreted as a fixed component of the rent paid by the Tenant to the landiord. If R 0 O S = 0.5; R 0 O S = 0; R