The Agency Problem Refers to the Possible Conflicts of Interest

question 24

Multiple Choice

The agency problem refers to the possible conflicts of interest between

• A)self-interested managers as principals and shareholders of the firm who are the agents.
• B)altruistic managers as agents and shareholders of the firm who are the principals.
• C)self-interested managers as agents and shareholders of the firm who are the principals.
• D)dutiful managers as principals and shareholders of the firm who are the agents.

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Definitions:

World Health Organization

A specialized agency of the United Nations responsible for international public health.

Harmful Air Pollution

Contaminants in the air that pose health risks or damage to the environment, often resulting from industrial activities, vehicle emissions, and other sources.

Global South

Poor countries in the southern hemisphere (previously referred to as the Third World).

Water Related

Pertaining to or connected with water, including its management, conservation, and issues surrounding its availability, quality, and use.