Which of the following statements is FALSE? A) Controlling shareholders pay for their control rights because the form effectively faces a higher cost of equity for outside capital. B) Most countries follow what is called the stakeholder model, giving explicit consideration to other stakeholders-in particular, rank-and-file employees. C) In a pyramid structure, a family first creates a company in which it owns more than 50% of the shares and therefore has a controlling interest. D) A conflict of interest arises because the family has an incentive to try to move profits (and hence dividends) up the pyramid-that is, away from companies in which it has few cash flow rights and toward firms in which it has more cash flow rights. E) None of the above