principal agency problem
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2018 ◽  
Vol 3 (2) ◽  
pp. 260-281
Author(s):  
Andrey Starodubtsev

The article analyzes the current model of intergovernmental relations in Russia and explains how it was formed in the 2000s, as well as demonstrating its effects in one sphere of public administration, namely education. Based on theoretical perspectives on the expected and unexpected effects of decentralization, authoritarian politicians’ motives and central governments’ strategies aimed at overcoming the principal-agency problem, the author hypothesizes that decentralization realized under the conditions of an authoritarian government in geographically, ethnically and economically complex societies produces a kind of trap. Concentration on administrative decentralization intensifies the principal-agent problem while the authoritarian rulers’ interests limit the potential for employing effective means to overcome it.



2016 ◽  
Vol 42 (9) ◽  
pp. 891-901 ◽  
Author(s):  
Thomas R. Sadler ◽  
Shane Sanders

Purpose The purpose of this paper is to analyze the 2011 National Basketball Association (NBA) lockout and collective bargaining agreement (CBA). Design/methodology/approach Using a bargaining game model, the authors show that asymmetric information via owner revenue shifting and financial non-disclosure caused the conflict between owners and players (growth of player salaries) to result in a lockout. Findings The bargaining game also demonstrates the lockout to be a rational response to asymmetric information: by restricting the growth of player salaries, owners improved their competitive position. Other factors motivating the lockout include the indirect benefit to the median owner of repressing player salaries (i.e. greater expected competitive balance) and a principal agency problem within the players’ union. The lockout concluded with a ten-year CBA, a mutual opt-out in 2017, and revenue sharing between 49 and 51 percent of basketball-related income. The league salvaged a shortened 2011-2012 season, but created an economic framework more favorable to owners. Originality/value This paper is novel in its analysis of the bargaining aspects of the current NBA collective bargaining agreement.



2013 ◽  
Vol 2013 (1) ◽  
pp. 14840
Author(s):  
Heejung Byun ◽  
Tae-Hyun Kim




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