Adam Rikkers, Chapter 2, Question #5

One of the examples about incentives that I found interesting was about real estate agents. Their incentives are in both the sellers favor at times, and at other times they are in the buyers favor. The example that the book gave was that they want to sell the house at a high price so they will get a good commission. At the same time, that would require lots of work because less buyers will be willing to look at the house. If they sell at a lower price, they will get a lower commission, but for a significantly less amount of work. This passage was interesting to me because their incentives are at times opposing each other, and there is more than meets the eye.