Managerial Objectives In 2012, the Argentinian government nationalized YPF, which is a subsidiary of Repsol, the Spanish oil giant. YPF was integral to the operations of Repsol. The firm was set up 10 years earlier and had received more than €20 billion of capital investment from Repsol. The benefits to Repsol’s shareholders from YPF were large and, every year, $600 million of dividends were paid to the parent company. How do you think the presence of a major state shareholder (the Argentinian government)

changes the agency relationships within YPF? Explain.