llny2000 llny2000

06-05-2024
Social Studies

Answered

27. What condition(s) must be present in order for a principal-agent problem to arise?
a. The absence of laws regulating the behavior of the agent
b. Involvement of a third party who stands to benefit by the actions of the principal
c. Adverse selection and asymmetric information.
d. Asymmetric information and divergent interests of the principal and agent

Answer :

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