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maam one fo the advantages of good corporate governance mentioned in my study text is- it improves ” efficiency of operations”.
can you explain how exactly? any examples are always a bonus!
It seems to be a hypothesis on which many academic papers have been written (which I don’t think have any place in AA).
Perhaps the most obvious and relevant example is that independent directors are more likely to question and monitor management to prevent fraud (which is clearly a source of inefficiency).