Regulatory Strategies:Entry Exit Time Way Purpose 1)requiring agents to disclose Information screen out Entry before contracting with 2)the law can prescribe exit principals opportunities for principals opportunistic agents (e.g.awarding to a creditor the right to call a loan) after contracting with 1)the right to withdraw the value Exit principals allows principals to of one's investment (e.g.appraisal right) escape opportunistic 2)the right of transfer agentsRegulatory Strategies: Entry & Exit Time Way Purpose Entry before contracting with principals 1) requiring agents to disclose Information 2) the law can prescribe exit opportunities for principals (e.g. awarding to a creditor the right to call a loan) screen out opportunistic agents Exit after contracting with principals 1)the right to withdraw the value of one’s investment (e.g. appraisal right) 2) the right of transfer allows principals to escape opportunistic agents