Salespeople, whether selling life insurance, automobiles, or pharmaceuticals, typically get paid on commission instead of a straight

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Salespeople, whether selling life insurance, automobiles, or pharmaceuticals, typically get paid on commission instead of a straight hourly wage. How does paying a commission help solve the principal-agent problem between the owners of a business and their salespeople?
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Economics

ISBN: 978-0134106243

6th edition

Authors: R. Glenn Hubbard

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