Which of the following is not a mechanism used to address the principal-agent issue in the management of large corporations?
A) Enforcing managerial duties externally
B) Empowering shareholders
C) Strengthening corporate governance
D) Enforcing of disclosure requirements
E) Setting up a corporate lobbying group

Question

Quizplus · Accepted Answer

Setting up a corporate lobbying group is not a mechanism used to address the principal-agent issue in the management of large corporations. The other choices (A-D) are commonly used mechanisms to address the principal-agent issue.

Which of the Following Is Not a Mechanism Used to Address