Ballast takes many forms. The simplest form of ballast used in small day sailers is so-called live ballast, or the weight of the crew. By sitting on the windward side of the hull, the heeling moment must lift the weight of the crew.
The Principal-Agent Relationship. A principal-agent relationship is an arrangement between two or more individuals. Specifically, the agent of the relationship performs a task on behalf of the principal. This is often due to different degrees of knowledge and skills.
Definition of principal/agent problem. The problem of motivating one party (the agent) to act on behalf of another (the principal) is known as the principal-agent problem, or agency problem for short. Agency problems arise in a variety of different contexts.