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I view profit after paying for externalities as the best indicator of good done by a company. That is because for each voluntary trade, both the buyer and the
by danuker 4y ago
I view profit after paying for externalities as the best indicator of good done by a company.
That is because for each voluntary trade, both the buyer and the seller at least SEE themselves as better off.
If you account for damage done to the commons (i.e. pollution
of the environment or involuntary pay (through artificial monopolization, misleading advertising, or corrupt government against people's wishes)), the profit margin is an indicator that what you are doing is needed, and that not enough suppliers compete in that area.
- 2OEH8eoCRo0 4y agoI like that. Elegant and obvious. Profitable companies have lots of people giving them money. Why do they do that? Because they need, want, or will benefit from what the company is selling.
- JonChesterfield 4y agoWeapons companies running off government contracts look pretty great by this metric.
- danuker 4y agoAgain... Account for externalities. For instance: how strongly does the population support the weapons expenses? If it's forced into this spending, the trade is not moral. How much damage is dealt by each bullet? What does a bullet cost?