4 ms·

If the owners of all these companies are actually afraid of their own managers allocating funds within the companies they have supposedly invested in, then what

If the owners of all these companies are actually afraid of their own managers allocating funds within the companies they have supposedly invested in, then what's the point of investing in anything at all? In that case, the "economy" is nothing but a bunch of fools wasting investors' money and it is certainly a bubble.

kgwgk 8y ago
If your employer is afraid of you doing something different from the thing you are supossed to do, what is the point of hiring you in the first place?
- mercutio2 8y ago
  No one trusts anyone absolutely. The principal agent problem is real and relevant for every organization of any size.