Analyzing the Impact of Essential Elements of Corporate Governance on the Agency Cost. Does Corporate Governance Itself Plays A Mediating Role: Evidence from the Board of Directors of Higher Education Institutes of Karachi

Abstract

It has been observed through the literature review of various researches, that there are various variables associated with corporate governance which have creatin Impact on the practices followed by the management in order to optimize the agency cost. As agency cost is the the determinat to judge the performance of the board of directors, hence it is a requirement of research which can evaluate the impact of these factors on the corporate governance as well as on the agency cost incurred in order to control and manage all the actiovties associated with the performance of the director or board of directors. In this research this requirement has been fulfilled by the ehlp of primary data, taken through the data taken by the authentic and recognized instruments used by the reputed researchers in their recent researches, and efter evaluating the data gathered through the questionnaire it has been found that the impact of all the determined independent variables is found to be significant on the corporate governance but the role of corporate governance in optimizing the agency cost is also a point of concenn as all the independent variables are affecting the agency cost through uusing the construct of corporate governance.

Keywords: Corporate Governance, Agency Cost, Board of Directors,