No, it doesn't; but it turns out that you end up with a much poorer society without it. The king did not come up with incorporation merely to amuse the incorpor

No, it doesn't; but it turns out that you end up with a much poorer society without it. The king did not come up with incorporation merely to amuse the incorporators; it was to tax them and take loans from them, and that's because there was enormous economic activity they could undertake once there was a liability shield.