In capitalist economies, the primary goal of for-profit companies is to maximize their profits. This doesn't mean that companies focus on profits at the expense of everything else, though. Instead, ...

Discover the concept of homo economicus, its origins, and why it's essential in economics. Explore its rational decision-making model and its limitations today.

I asked Prof. Bainbridge whether I could cross-post this from Corporate Finance Lab, and he kindly agreed: What is the purpose of a corporation? Is it, as Nobel Economics laureate Milton Friedman ...

Maximizing corporate profit, as an idea, seems straightforward, simple and obvious. In terms of basic managerial policy, however, it's anything but. Maximizing corporate profits, at first blush, seems ...