Corporate Governance
How Enlightened is Enlightened Shareholder Value?
There has been growing support for replacing the traditional corporate purpose with so-called “enlightened shareholder value,” which would guide firms to consider stakeholder interests...
Are “Bankruptcy Directors” Bad for Creditors?
A new paper studies the rise of so-called “bankruptcy directors,” typically former bankruptcy lawyers, investment bankers, or distressed debt traders who join corporate boards...
Should ESG-Driven Investors and Stakeholders Divest or Engage? A Stigler Center/Rustandy Center Panel Explores
Should investors and stakeholders who wish to influence companies to promote desirable social and environmental outcomes focus on actions like divestment and boycotts (exit),...
Max Oversight Duties: How the Boeing Case Signifies a Shift in Corporate Law
Why did regulation, corporate governance, and fear of repetitional harm fail to prevent the Boeing 737 Max debacle from happening? A new paper explores...
How the Covid-19 Pandemic Put Corporate Stakeholder Promises to the Test
Prior to the outbreak of Covid-19, corporate leaders pledged to look after all stakeholders, not just deliver value to shareholders. Did they live up...
Elizabeth Holmes Is the Exception: More Women on Boards Lead to Less Corporate Wrongdoing
The so-called “opportunity theory” suggests that women are statistically underrepresented in white-collar offenses because they are underrepresented in higher corporate echelons. A forthcoming paper...
How Much Can We Trust Index Funds on Climate Change?
According to a theory that is gaining support among academics and practitioners, we should expect index fund managers to undertake the role of “climate...
This Proposal Could Inadvertently Improve Corporate Accounting
A provision within the Biden administration’s Build Back Better bill that assesses a minimum tax on certain companies based on their income reported to...
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, increase incentives...
The Social Responsibility of Business Includes Profits
Profits these days are often seen as a dirty word, but it is wrong to demonize profits. A company’s responsibility is not to sacrifice...
