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Please explain clearly and specifically. There are two types of private equity firms: venture capitalists and capital buyout funds (specialists in leverage buyouts). Describe each

Please explain clearly and specifically.

There are two types of private equity firms: venture capitalists and capital buyout funds (specialists in leverage buyouts). Describe each type and explain how each type mitigates the free-rider problem, after defining the free-rider problem. Explain how the two arrangements help to mitigate the principal-agent problem in publicly traded corporations.

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