Three-party accountability is a special case of which economic theory problem?
A) independence
B) agency
C) business risk
D) forensics

Question

Quizplus · Accepted Answer

Three-party accountability involves three parties: the principal, the agent, and a third party who is affected by the actions of the agent. This is a special case of the agency problem, which arises when there is a conflict of interest between the principal and the agent. In this case, the third party is affected by the actions of the agent, and the principal may not have the ability to fully control the actions of the agent, leading to potential issues of accountability.

Three-Party Accountability Is a Special Case of Which Economic Theory