Bonuses paid to banking executives whose corporate share prices declined significantly during the Great Recession of 2008 were an example of

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The payment of bonuses to banking executives whose corporate share prices declined significantly during the Great Recession of 2008 is an example of the agency problem. This refers to the conflict of interest that arises when individuals (the executives) are hired to act in the best interest of another (the shareholders), but may prioritize their own self-interest (in this case, receiving bonuses) instead.

Bonuses Paid to Banking Executives Whose Corporate Share Prices Declined