On the implementability of contracts without quasilinear utility

Implementability conditions in Rochet (1987) are extended to utility functions not necessarily quasilinear in the transfer, or linear in the type, for the case where agents' information is one-dimensional but actions become multidimensional. The results obtained are relevant for the characterization of optimal mechanisms in adverse selection and moral hazard problems.

► We extend Rochet (1987)'s conditions to non-quasilinear in the transfer or linear in the type utility. ► Our results are relevant for the characterization of adverse selection and moral hazard problems. ► An example illustrates the way of dealing in applications with the constraints involved.