The agency problem described in the textbook is referred to the idea of bank managers driven primarily by their own interest to increase salaries and benefits at the expense of company stockholders.

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The agency problem described in the textbook is commonly referred to as the conflict between the interests of company managers and the interests of company stockholders, where managers may prioritize their own interests, such as maximizing their own salaries and benefits, over those of the stockholders.

The Agency Problem Described in the Textbook Is Referred to the Idea