Author Question: Why is the principal-agent problem less likely when getting a haircut than when getting a car ... (Read 54 times)

charchew · **on:** Jun 30, 2018

Why is the principal-agent problem less likely when getting a haircut than when getting a car repaired?
a. Haircuts are less expensive than car repairs.
b. There are no hidden actions when getting your hair cut.
c. There are no hidden actions when getting your car repaired.
d. Auto mechanics are less honest than hair stylists.
e. There is no principal-agent relationship in car repair.

Question 2

Throughout the world, poverty is greater among women than men, particularly women who head households.
a. True
b. False