With the big focus on bankers bonuses and the role of shareholders over the last few years it would be worth looking at the followig question from June 2008:
2 (a) Economists often assume that firms have only one objective, to maximise profit.
Explain other objectives firms may have other than profit maximisation. (15 marks)
(b) Evaluate the view that separation of from control has an adverse effect on
firms’ conduct and performance. (25 marks)
Good BBC link
High Pay Commission
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