Which of the following statements is FALSE?
OA. In many other countries, the central conflict is between what are called "controlling shareholders" and "minority
shareholders."
OB. Controlling shareholders can make decisions that benefit them disproportionately relative to the minority
shareholders, such as employing family
members rather than the most talented managers or establishing contracts
favorable to other family controlled firms.
OC. As recent events and corporate scandals have shown, investor protection in the United States is generally seen as
substandard when compared to the
developed economies in the world.
OD. Much of the focus in the United States is on the agency conflict between shareholders, who own the majority of a
firm but are a dispersed group
, and managers, who own little of the firm and must be monitored.
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Answer :

Final answer:

Option C is the FALSE statement as investor protection in the United States is not considered substandard globally.


Explanation:

The FALSE statement among the options is Option C. Despite recent events and corporate scandals, investor protection in the United States is not generally seen as substandard compared to other developed economies worldwide. The U.S. has robust regulations and mechanisms in place to protect investors and ensure transparency in the financial markets.


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