Board of Directors

Serving Shareholders Doesn’t Mean Putting Profit Above All Else

The time has come for companies, economists, and society to abandon the argument that the only responsibility of business is to maximize profits. Editor’s note:...

Firms with Owners in Common Are Freer about Publicly Disclosing Information

The accounting literature has long examined how public disclosures relate to firm competitiveness. If common ownership is in fact hurting competition, companies with owners...

Turning Corporations into Democracies

The problem with encouraging firms to maximize shareholder welfare is how to prevent managers and special interests from diverting corporate resources in the name of shareholder...

Where Friedman Was Wrong

A new paper by Oliver Hart and Luigi Zingales argues that a company’s objective should be the maximization of shareholders’ welfare, not value.  In 1970,...

Enhancing Competition? The Role of Governance in Increasing Exposure to Competition

Contemporary corporate governance reform has been a mixed bag: reforms that increase a company’s exposure to competition through the control market have been helpful,...

Are Managers Who Oppose Shareholder Proposals Acting in the Best Interest of Shareholders?

A new Stigler Center working paper finds that managers who resist shareholder proposals are typically acting responsibly, as opposed to acting on their own...

Wells Fargo and the Failure of Boards and Regulators

Two new reports concerning the Wells Fargo scandal suggest that the bank's senior management, its board of directors, and the regulators all knew about the bank's...

The Non-Performing Assets of Wells Fargo

The entire board of Wells Fargo, not just the CEO, needs to be replaced. In 1992, shareholder activist Bob Monks purchased a full-page ad in...

What Differentiates White-Collar Criminals From Other Executives? A Q&A With Eugene Soltes

Video: Harvard Business School professor Eugene Soltes discusses his new book and explains why he considers white-collar crime to be a failure of intuition, not reasoning. What drives...

Why Most Boards Fail

A Stigler Center panel debate examines the impact of activist shareholders and the role of dissenting board members. Corporate governance has seen some substantial reforms...

LATEST NEWS

The Fall of American Manufacturing and the Rise of Health Care

In an excerpt from his new book The Next Shift, University of Chicago historian Gabriel Winant explores how deindustrialization and the decline...

Antitrust and the FTC: Franchise Restraints on Worker Mobility

As currently formulated, antitrust’s rule of reason approach is not the best tool to deal with vertical noncompete agreements that limit worker...

How to Make the Market for Real Estate Agents More Competitive

Delinking buyer and seller commissions will make markets for real estate agent services more competitive, allowing buyers and sellers to negotiate commissions...

Dislocation, Dislocation, Dislocation: Covid, the Retail Crisis, and REITs

In an excerpt from his new book Retail Recovery, retail expert and author Mark Pilkington explores the impact of the sector's decline...

Addressing Climate Change Must Begin with Verifiable Carbon Accounting

Robert Kaplan and Karthik Ramanna propose a new approach for verifiable accounting on indirect corporate emissions that would apply to all corporations,...