investigating the mantra of management a cavallo of the last 2 centuries
it all started with this paper in 1976 Theory of the firm: Managerial behavior, agency costs and ownership structure
which welcomes the thesis expressed by Milton Friedman in 1970 in The Social Responsibility of Business Is to Increase Its Profits
(originally published in NYTimes https://www.nytimes.com/1970/09/13/archives/a-friedman-doctrine-the-social-responsibility-of-business-is-to.html)
It was 50 years from the day Friedman’s paper was published last september 2020, it took some time but by the early 80’s shareholder value took hold in the the corporate world, fuelled a rally in stocks and became one with the Reagan era
I started from here: https://www.nytimes.com/2020/09/11/business/dealbook/milton-friedman-doctrine-social-responsibility-of-business.html
and here: https://www.nytimes.com/2020/09/11/business/dealbook/milton-friedman-free-markets.html
Paul Graham, who says his job is making billionaires, can say that billionaires are not bad people and goes on explaining why: http://paulgraham.com/ace.html
Why did he fgeel compelled to say that? It must ll the breakup Facebook bruahahaha that is digging dirt from the social network which seems having been 100% profit making so something bad might have happened. You might be disgruntled as a user when you see your friends ganging up on some screwerd up cause, but if you are minority in a country and the cause is killing you you might hold more of a grudge against Zuck, if you manage to survive, that is.
Anyway, are you a communist that denies the right of entrepreneurs to make profit? Not so easy
But the post need not be on Facebook, I wanted to pin something on why orgnizations like companies screwup.
The Gervais Principle or the office according to The Office
more to come