Question: When, after accepting a contract, the agent can take an action that is not verifiable by the principal it gives the agent an advantage similar

When, after accepting a contract, the agent can take an action that is not verifiable by the principal it gives the agent an advantage similar to the first mover's advantage. This means that he can get a utility greater than his reservation utility.

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1. To take in the necessary information,

7. Find four examples that illustrate the statement: Beyond a certain point, open-ness regarding information and communication can become detrimental to relationships.

2. In this chapter, the reader should reflect on the following concepts: