Behavioral Agency Theory Based on Inequity Aversion

This paper proposes the shortcoming of traditional agency theory in the view of social preference, and concludes three main contents that are neglected in the process of establishing current Behavioral Agency Theory. The utility function doesn't take the main body heterogeneity into account. The relationship between inequity aversion and risk aversion isn't considered in behavioral agency, and behavioral agency model hasn't been examined by the experiment. Finally, behavioral agency theory and its directions for research and application have been put forwarded.