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Such a strategy helps managers to diversify the risk of their personal human capital, which is tied to the firm that they manage. Another argument is that managers, in a bid to make themselves indispensable to the firms they manage, opt for diversification with negative impact on shareholders' wealth...
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Such a strategy helps managers to diversify the risk of their personal human capital, which is tied to the firm that they manage. Another argument is that managers, in a bid to make themselves indispensable to the firms they manage, opt for diversification with negative impact on shareholders' wealth...
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