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> It was made up by a professor at University of Chicago and ran contrary to the history of business and limited liability company structures Who is this guy?
by OGWhales 7y ago
> It was made up by a professor at University of Chicago and ran contrary to the history of business and limited liability company structures
Who is this guy? Also where can I learn more about this and related topics. I’ve taken an interest to learning about our economic system in my free time and would love it if someone could point me to some good resources/podcasts/whatever.
- digitaltrees 7y agoMilton Friedman. https://www.forbes.com/sites/stevedenning/2013/06/26/the-origin-of-the-worlds-dumbest-idea-milton-friedman/#6581d7e7870e https://www.forbes.com/sites/stevedenning/2013/06/26/the-ori... The amazing thing is when you compare this with the history of corporate structures. For much of history after the joint stock ventures were created in the 1600s they were extraordinary one time grants from the king and only for very very risky ventures. Basically they were used to induce businesses that wouldn’t exist but were vital for society. In exchange there was an express charter that laid out the obligations of the firm. There were expectations on how the company would act in society. There were obligations to employees, bond holders, the community etc.
- akiselev 7y agoHe means Milton Friedman. The "theory" itself is called "shareholder primacy": https://en.wikipedia.org/wiki/Shareholder_primacy https://en.wikipedia.org/wiki/Shareholder_primacy