The incentive problem within the modern corporation is that the:
A. decision makers have stronger incentives to use assets productively than in small business where there is no separation of ownership and control.
B. decision makers have weaker incentives to use assets productively than in small business where there is no separation of ownership and control.
C. decision makers have stronger incentives to use assets productively than in small business where there is big separation of ownership and control.
D. decision makers have weaker incentives to use assets productively than in small business where there is a big separation of ownership and control.
Answer: B
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