Top of Mind
Steven Pearlstein, George Mason University Robinson Professor of Public and International Affairs, argues that “the dominance of the shareholder-value mentality blinds us to the variety of other things business can maximize—the quality of their products or services, customer satisfaction, providing good jobs, and creating long-term market value. Promoting these things in tandem creates thriving, sustainable businesses,” according to a summary of his recent whitepaper for the Center for Effective Public Management at the Brookings Institution. Pearlstein also discussed the issue with Charlie Rose.
Yale Insights talked with Lynn Stout, Distinguished Professor of Corporate & Business Law, Cornell University Law School. She has been a driving force behind re-examination of the legal basis and economic merit of shareholder-value primacy.