Principal-Agent Problem: what this star will be

Principal-Agent Problem is a star on the Constellate sky: placed by meaning, named, and connected to the stars around it. This is the short form of its post: the line it carries, the area we colour Economics, and what stands beside it today.

The line it carries on the sky: The person acting for us answers first to their own incentives.

What stands beside it

The stars nearest to it are Game Theory, Goodhart's Law, Institutions and Moral Hazard, and Game Theory and Institutions are already open to walk. When Principal-Agent Problem opens, the conversation will land it among them, with a line drawn to each idea it touches.

Ask for this star

Every star is lit by demand. Ask for Principal-Agent Problem and it moves up the list; when it opens, this post becomes the full essay. The open stars beside it can be walked today, and the first concept of every course is free.