27 | Principal-Agent Framework
A principal-agent relationship is an arrangement where one person, the principal, relies on another person, the agent, to act on the principal’s behalf.
George Akerlof, a Nobel Prize-winning economist, analyzed the theory of adverse selection – which occurs when an offer conveys negative information about what is being offered.
This video explains principle–agent problems and how they're affected by franchise value.
Why is it so hard to regulate private water companies effectively? This video presents some general conundrums of regulation
In this video, we discuss asymmetric information, adverse selection, and propitious selection in relation to the market for health insurance. Health insurance consumers come in a range of health, but to insurance companies, everyone has the same average health.
Principal–agent problems are the result of delegation. Principals want agents to do something for them. The problem arises when the agent doesn't do what the principal wants. This video looks at how industry structure can be used to ensure that agents do what the principal desires.
George Akerlof, a Nobel Prize-winning economist, analyzed the theory of adverse selection – which occurs when an offer conveys negative information about what is being offered.
Why is it so hard to regulate private water companies effectively? This video presents some general conundrums of regulation
In this video, we discuss asymmetric information, adverse selection, and propitious selection in relation to the market for health insurance. Health insurance consumers come in a range of health, but to insurance companies, everyone has the same average health.
This video explains principle–agent problems and how they're affected by franchise value.
Principal–agent problems are the result of delegation. Principals want agents to do something for them. The problem arises when the agent doesn't do what the principal wants. This video looks at how industry structure can be used to ensure that agents do what the principal desires.
At first glance it appears to be a crowning symbol of obnoxious rock star excess, yet a closer look reveals a deeper story about how a band used a tiny candy to alert them to major problems.
The 1970s saw the rise of Van Halen. Like every band, when Van Halen was hired to play a show, they provided the promoter with a contract “rider” that outlined specific things the promoter would be responsible for.