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Agency theory reflects the notion that managers are “agents”

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Agency theory reflects the notion that managers are “agents” True/False 1. People who are really devious will engage in political self-protection by using the redirecting techniques of: blaming the problem on someone or some group who has difficulty engaging in self-defense; blaming the problem on uncontrollable events; or escalating commitment to a losing course of action. 2. Agency theory reflects the notion that managers are “agents” of the owners and suggests that public corporations can function effectively even though its managers are self-interested and do not automatically bear the full consequences of their managerial actions. 3. In placing appropriate controls on agents, stockholders with a large stake in the firm take an active role on the board of directors and a strong, independent board should be established. 4. Organizational governance is the pattern of authority, influence, and acceptable managerial behavior established at the top of the organization. 5. Whereas organizational governance was an internal and rather private matter in the past, it is now becoming more public and openly controversial. Economics Assignment Help, Economics Homework help, Economics Study Help, Economics Course Help

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