Economics A-Level
The Divorce of Ownership from Control
What The Divorce of Ownership from Control means in Economics A-Level, as defined for Pearson Edexcel.
Definition of The Divorce of Ownership from Control
The emergence of the Principal-Agent problem where managers (agents) pursue personal utility maximization, such as prestige or fringe benefits, over shareholder (principal) profit interests.
Topics that use The Divorce of Ownership from Control
- Business objectives (Pearson Edexcel A-Level)
Related terms
Using The Divorce of Ownership from Control in the exam
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