# kaal:claim:7261018-018

**Claim.** Over-approval is moral hazard in the monitoring layer itself: the validation pool is the substrate’s monitor, and a pool that approves work failing ground truth is a monitor whose verdicts have decoupled from the quantity it exists to verify, the adjudicator’s failure mode that the incomplete-contracts tradition predicts wherever quality is adjudicated ex post.

**Type.** definitional  **Support.** argued

**Holds when.**

- validation-pool approval relative to ground truth

**Source quote.**

> Over-approval is moral hazard in the monitoring layer itself: the validation pool is the substrate’s monitor, and a pool that approves work failing ground truth is a monitor whose verdicts have decoupled from the quantity it exists to verify, the adjudicator’s failure mode that the incomplete-contracts tradition predicts wherever quality is adjudicated ex post.

**From.** Wulf A. Kaal, *Empirical Evaluation of the Agentic Reputation Substrate: Deliberation, the Composition of Error, and the Registered Measurement of Agency Costs in a Controlled Multi-Model Cohort* (2026), II.B. Principal-Agent Theory as the Metric Foundation, page 11

**Cite as.** Wulf A. Kaal, Empirical Evaluation of the Agentic Reputation Substrate: Deliberation, the Composition of Error, and the Registered Measurement of Agency Costs in a Controlled Multi-Model Cohort (2026). SSRN: https://ssrn.com/abstract=7261018

**Verify.** sha256 of source PDF `1d6cbe544bd0055133f7cf8ff308be4fde955867bd8dc764992b8d516af15fa8` at https://raw.githubusercontent.com/wulfkaal/Academic-Papers/main/papers/pdf/Kaal%20-%202026%20-%20Empirical%20Evaluation%20of%20the%20Agentic%20Reputation%20Substrate%20Deliberation%2C%20the%20Composition%20of%20Error%2C%20and%20the%20Registered%20Measurement%20of%20Agency%20Costs%20in%20a%20Controlled%20Multi-Model%20Cohort.pdf

**Topics.** economics, risk-and-incentives, consensus-and-security

**Canonical form.** This markdown file is the canonical hashed representation of the claim. Its sha256 is the content hash used for attestation.