principal-agent problem
principal-agent problem
Glossary of money, banking and financial markets
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Economics
Definition of principal-agent problem
principal-agent problem: A moral hazard problem that occurs when the managers in control (the agents) act in their own interest rather than in the interest of the owners (the principals) due to different sets of incentives.
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Glossary of money, banking and financial markets
Economics money banking and financial market glossary index of terms
Definition and meaning of principal-agent problem
Meaning of principal-agent problem
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