I asked Prof. Bainbridge whether I could cross-post this from Corporate Finance Lab, and he kindly agreed: What is the purpose of a corporation? Is it, as Nobel Economics laureate Milton Friedman ...

Milton Friedman’s admonition 50 years ago that the modern corporation should maximize shareholder value remains controversial. We argue that under certain broad assumptions, the admonition remains a ...

Stephen Bainbridge, the William D. Warren distinguished professor of law at U.C.L.A. School of Law, is the author, most recently, of "Corporate Governance After the Financial Crisis." Updated April 16 ...

Should corporate managers pursue shareholder value maximization? At an AEI event on Wednesday, Cornell Law School’s Lynn Stout and Yale Law School’s Jonathan Macey debated the role of shareholder ...

In the business world, the corporate entity is distinct and special. It has a name and a life existence of it’s own and there are several stakeholders to any corporate entity. They mainly are: Current ...

Stakeholder capitalism is being pushed both by ideological partisans who have little respect for ownership rights and, perhaps worse, by those who would benefit financially from more exclusionary ...

Fund manager James Montier sparked a modest sensation a few weeks ago with a speech and Web presentation claiming “shareholder value maximization is the world’s dumbest idea.” In a nutshell, his ...

Carl Icahn’s bid to force online auction giant eBay to spin-off its payment processing business, PayPal, and eBay’s resistance to the idea once again highlights the disconnect that often exists ...

WEST LAFAYETTE, Ind. — Privately owned businesses are more efficient and profitable than governments. So goes the prevailing thought among financiers in the United States and many other countries.