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In Friedman's Words, the Reason That the Corporate Executive Is

Question 15

Multiple Choice

In Friedman's words, the reason that the corporate executive is chosen by the stockholders is that:


A) "They should have all of the power in all circumstances."
B) "The executive is an agent serving the interests of his principal."
C) "The executive should indeed keep the stockholder in mind when making difficult decisions."
D) "Markets will afford him more respect."
E) "The executive is the top employee, and they are the most important customer."

Correct Answer:

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