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Investing in Innovation: Confronting Predatory Value Extraction in the U.S. Corporation: Elements in Corporate Governance

Autor William Lazonick
en Limba Engleză Paperback – 30 aug 2023
Business corporations interact with household units and government agencies to make investments in productive capabilities required to generate innovative goods and services. When they work harmoniously, these three types of organizations constitute 'the investment triad'. The Biden administration's Build Back Better agenda to restore sustainable prosperity in the United States has focused on investment in productive capabilities by government agencies and household units. Largely absent from the Biden agenda have been policy initiatives to ensure that, given government and household investment in productive capabilities, the governance of major U.S. business corporations supports investment in innovation. This Element explains how corporate financialization, manifested by predatory value extraction in the name of 'maximizing shareholder value', undermines investment in innovation in the United States. It concludes by outlining a policy framework, beginning with a ban on stock buybacks, that confronts predatory value extraction and puts in place social institutions that support sustainable prosperity.
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Specificații

ISBN-13: 9781009410731
ISBN-10: 1009410733
Pagini: 75
Dimensiuni: 228 x 152 x 9 mm
Greutate: 0.15 kg
Editura: Cambridge University Press
Colecția Cambridge University Press
Seria Elements in Corporate Governance

Locul publicării:Cambridge, United Kingdom

Cuprins

Introduction; 1. Productive Capabilities and Sustainable Prosperity; 2. Innovative Enterprise; 3. From Retain-and-Reinvest to Downsize-and-Distribute; 4. Shareholder-Value Ideology and the Looting of the U.S. Business Corporation; 5. Reforming Corporate Governance for Sustainable Prosperity; References.

Descriere

This Element explains how corporate financialization,through predatory value extraction, undermines investment in innovation in the US.