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Is Shareholder Capitalism Actually Good For Shareholders?

February 8th, 2017 · No Comments

  • Since the late 1970s, the concept that firms exist exclusively for creating shareholder value has gained track and it is now firmly anchored by a host of institutions.
  • While it helped boost company profits, it hasn’t led to shared prosperity as there are some negative economic side effects.
  • Most notably though is that the biggest gains have gone to executives which shareholder capitalism were supposed to discipline.

Is Shareholder Capitalism Actually Good For Shareholders? | Seeking Alpha

Tags: Corporate governance