Sunday, January 5, 2020

The Principal Agent System - 1623 Words

The principal-agent system also offers employers a chance to screen applicants that they believe might present a â€Å"moral hazard† to the country by entering the social welfare system or becoming criminals. Employers can also monitor immigrants after their settlement, and any immigrant’s status can be jeopardized by an inability to keep a job. The federal government’s delegation of power allows employers to threaten deportation at their own discretion. The INA (Immigration and Nationality Act) was formed in 1952, and has since been amended multiple times over the ensuing decades, but remains the most collected and representative body of American immigration law. In 1986 the IRCA (the Immigration Reform and Control Act) and the IMFA (the Immigration Marriage Fraud Amendments Act of 1986) were passed from legislation to law. These laws collectively served the purpose of establishing amnesty for a certain number of illegal aliens, and restricting access to employ ment without documentation of eligibility. This law also created a system of sanctions requiring all employers to verify the identity and work authorization of any new job applicants. In order to address the possibility of discrimination, employers in these situations were not permitted to investigate further than the face of the provided documents. This law also imposed restrictions on immigrants who applied for citizenship based on a marriage that was under two years old. Such applicants were placed on temporaryShow MoreRelatedManagement And Processes Performance Metrics Essay1559 Words   |  7 Pagesinformation to a specific program, and create the principal-agents specific program. What is this information tied to? Freddie Mac’s website articulates the organization’s mission guidelines and strategic plan. These guidelines are strict and heavily weighted by deadlines, procedures for the reduction/elimination of marginal errors in delivery of a securitized loan to Freddie Mac. As part of the interview and orientation process each principal-agent is required to systematically follow through theRead MoreAspects Of Organizational Communications : Freddie Macs Has Multiple Communications Systems1067 Words   |  5 Pagesmultiple communications systems. There is communicating person to person among staff members. There are regional office centers located in five regional area of the United States. These offices were strategically planned to provide local coverage within the market. This assisted with gaining access in these local and distant markets as to how trend tend to fair in the office location also giving Freddie Mac visibility within different regions and access to its principal -agents. In each office thereRead MoreDifference Between Stockholder And Stakeholders1053 Words   |  5 Pagesarise if agents and principals have different goals and if agents take actions that are not in the best interests of their principals. Agents may be able to do this because there is an information asymmetry between the principal and the agent: agents almost always have more information about the resources they are managing than the principal does. Unscrupulous agents can take advantage of any information asymmetry to mislead principals and maximize their own interests at the expense of principals. InRead MoreAgency Theory Is Used to Explain Executive Pay Essay1256 Words   |  6 Pagesactions through governance procedures to approve all major decisions and limit conflicts of interest. Principal-agent model - This model assumes executives work to produce value for the firm in exchange for tangible and intangible benefits including financial compensation. Although many aspects of the principal-agent relationship are reflected in employment contracts, monitoring agents is limited to observable data as well as incentive compatibility and participation constraints. An incentiveRead MoreThe Significance Of The Proposed Study Is That The Findings1045 Words   |  5 Pagesontology of the taxpayer-taxing authority and principal-agent relationships, thereby advancing development of the principal-agent theory. Furthermore, it will enhance knowledge of the effects of trust, power, and technology on the principal-agent relationship, and how those concepts affect taxpayer perceptions of tax preparation in the United States. Finally, it will further knowledge of taxpayer resistance to implementation of a pre-filled tax return system in the United States. Taxing authoritiesRead MoreThe Law of Agency1024 Words   |  4 Pagesfor the legal system to devise a method to handle the multitude of relationships that grew out of these activities. During this time, the rudimentary rules of agency started to be organized and collected into a unified code of law. In the late 19th century the center of most business was in England and it was here that the laws of agency came to maturity. Through the application of contract law in that nation the doctrine of principals and agents became to be based on three principal elemental propositionsRead MoreA Review of the Doctrine of Agency by Necessity1690 Words   |  7 PagesINTRODUCTION: The doctrine of ‘agency by necessity’ establishes that authority shall be assumed, in a necessitous situation, by a person who acts in the interest of the principal. The Indian Contract Act remains silent as to classification of the doctrine under any section, though many debate that it is to be under the head of Section 189. This is an extremely ambiguous area in the law of agency, as there are quite a few specific scenarios apart from the quintessential ‘shipmaster’, which are debatableRead MoreSocial Responsibility : Kroger Company983 Words   |  4 Pageslocal economies. When Kroger succeeds, its shareholders are rewarded as well. In effect, in 2014 alone the company was able to pay over 1.6 billion dollars to their shareholders in dividends and stock buy. 2.6 Corporate Governance (To Review) The system of rules, practices and processes by which a company is directed and controlled is referred to as corporate governance. (Hill, Jones, Schilling, 2015) Corporate governance essentially involves balancing the interests of the many stakeholders (shareholdersRead MoreWhat Is the Principle-Agent Relationship? Using Examples from the Public Sector Explain Why Inefficiencies May (or May Not) Arise Because of a Principle-Agent Relationship. Is There a Way to Resolve Any Problems?1546 Words   |  7 PagesA great majority of social and economic relationships are of the principle agent type. The principle-agent problem is a game-theoretic situation where; there is a player (the principal) and one more other players (the agents). This is the problem of how the principle can motivate the agent to act for the principles benefit rather than follow self interest. â€Å"The problem is how to devise incentives which lead to report truthfully to the principle on the facts they face and the actions they takeRead MoreEconomic Strategy for Business1016 Words   |  5 Pages 5. Agency principal/problem occurs when one party (the agent) is hired by another (the principal) to take actions or make decisions that affect the payoff to the principal. In this case, glass installers would be the agent and the CEO of Safelite Glass Corporation would be the principal. The performance evaluation is pay-for-performance incentives which principal offers the agent’s pay to the payoff the principal receives from the agent actions. Outcome is the result of the agent work such as

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