Select the principal in the passage that illustrates an example of the principal-agent problem.

agency that provides Congress with information about how tax dollars are spent and how the government could be made more efficient
-Government Accountability Office

agency within the Executive Office of the President with control over the federal budget and regulations
-Office of Management and Budget

has key staff reporting directly to the president and includes groups such as the National Security Council and Council of Economic Advisers, among others
-Executive Office of the President

agency addressing consumer complaints and regulating banks, payday lenders, debt collectors, among other firms
-Consumer Financial Protection Bureau

Which example illustrates the principal agent problem?

Which example illustrates the principal-agent problem? Congress members argued that the Small Business Administration was not implementing the policy as they had intended. In this case, the principal is Congress, and the agent is the Small Business Administration.

Why might Congress choose delegate authority to bureaucrats quizlet?

Why might Congress choose to delegate authority to bureaucrats? Correct Answers: -Congress may prefer to delegate politically tricky decisions to bureaucrats to avoid taking positions on controversial issues that may anger constituents or interest groups.

Which of the following is an example of a member of Congress performing police patrol oversight?

Which of the following are examples of a member of Congress performing police patrol oversight? -interviewing senior bureaucratic personal(Continuously interviewing senior bureaucratic personnel is consistent with the constant monitoring involved in police patrol oversight.)

In which ways can bureaucracies pose a challenge to democratic governance correct answer s?

Choose all of the following ways that bureaucracies can pose a challenge to democratic governance. They can interpret laws and create rules in ways that a majority might oppose. They can become entrenched organizations that serve their own interests. They are not elected by the people.

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