The only two ways of dealing with the principal agent problem are the use of long-term contracts and monitoring.

Name: The only two ways of dealing with the principal agent problem are the use of long-term contracts and monitoring.
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Quizplus · Accepted Answer

There are multiple ways to address the principal-agent problem, including incentive alignment, performance-based pay, and fostering trust, in addition to long-term contracts and monitoring.

The Only Two Ways of Dealing with the Principal Agent