Question $7$

$0\mathrm{.}5$ pts

In a principal$-$agent conflict, the contractor

$$ is the principal that makes the decisions.

is the agent who is in a position to make decisions that take advantage of the government $($the principal$).$

is the principal who is taken advantage of by the agent $($the government$)$ who makes decisions.

is the principal who is in a position to make decisions that take advantage of the government $($the agent$).$