>> Read article in Boston Review
PERI's Lenore Palladino argues that "shareholder primacy" -- the idea that corporations have no higher purpose than maximizing profits for their shareholders--doesn't reflect the reality of today's business dealings.
RIP Shareholder Primacy
August 20, 2019
| Commentary
- Headline: The American Corporation in Crisis
- Intro Text: In “The American Corporation in Crisis—Let’s Rethink It,” PERI researcher Lenore Palladino argues that, for decades, the concept of shareholder primacy in corporate organization has abandoned the idea that corporations’ employees should benefit when the corporations are succeeding. Over recent decades, the commitment to shareholder primacy has contributed to the persistent rise of inequality between workers versus their employers—i.e., top management and share owners. Palladino proposes approaches to create more egalitarian corporate structures. Thirteen leading analysts comment on Palladino’s proposals in a special Boston Review Forum, and Palladino responds to the commentators.
- Type of publication: Commentary
- Research or In The Media: Research
- Research Area: Finance, Jobs & Macroeconomics
- Publication Date: 2019-08-20
- Show in Front Page Modules: Yes
- Publisher: The Boston Review
