Examlex
Suppose you joined a company that had a WAN composed of SONET, T carrier services, and frame relay, each selected to match a specific network need for a certain set of circuits. Would you say this was a well-designed network? Explain.
X-inefficiency
A situation where a firm operates with higher than necessary costs due to a lack of competition or other inefficiencies, not achieving maximum productivity.
Principal-agent Problems
Conflicts of interest and challenges in monitoring that arise in relationships where one party (the agent) is supposed to act in the best interest of another (the principal).
Paradox of Voting
The situation where individual rationality leads to a collective decision that is worse for everyone involved.
Principal-agent Problems
Situations where there is a conflict of interest between a principal (such as an owner or shareholder) and an agent (such as a manager), due to diverging goals or asymmetrical information.
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