In some large companies, managers are given the option of buying stock in their company at a

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In some large companies, managers are given the option of buying stock in their company at a predetermined set price per share.

(a) How might this strategy resolve the agency problem between owners and managers?

(b) What would happen if a crash in technology shares caused the share price to fall below

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Managerial Economics A Strategic Approach

ISBN: 285451

2nd Edition

Authors: Robert Waschik ,Tim Fisher ,David Prentice

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