3 years ago

The principal-agent problem, as applied to the labor market, would have the :

Business

1 answer:

Law Incorporation [45]3 years ago

6 0

Answer:

The answer is B.

Explanation:

An agency relationship is a relationship between the principal and the agent.

A principal employs the service of an agent who acts on behalf of the principal.

An agent must make sure that there is no conflict on interest.

So in labor market, employer is the principal while the worker or employee is the agent.

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