Extra-credit opportunity: “The Social Responsibility of Business Is to Increase Its Profits”

This fall marks the 50th anniversary of the publication of (Economics Nobel Laureate) Milton Friedman’s famous essay on the social role of corporations, entitled “The Social Responsibility of Business Is to Increase Its Profits”. The ideas in Professor Friedman’s essay provide a critically important conceptual framework for contemporary discussions of stakeholder vs. shareholder capitalism.

On Wednesday, October 14 starting at 4 p.m. CT, the Salem Center at UT-Austin’s McCombs School of Business will feature a panel discussion about Friedman’s ideas and implications for the future of capitalism.  The panel will be moderated by Sheridan Titman (Professor of Finance at McCombs), and feature Tom Gilligan (senior fellow at the Hoover Institution and former McCombs School dean), along with McCombs professors Laura Starks (Finance), Raji Srinivasan (Marketing), and Willie Fuchs (Finance).

Since this panel discussion has the makings of an extra-credit opportunity for Finance 4335, let’s have it! You can earn extra credit by attending (via Zoom) and reporting on what you learn. If you decide to take advantage of this extra-credit opportunity, I will use the grade you earn on your report to replace your lowest quiz grade in Finance 4335 (assuming that your grade on the extra credit is higher than your lowest quiz grade). The report should be in the form of a (PDF formatted) 1-2 page executive summary. In order to receive credit, the report must be uploaded to the Assignments section of the Course Canvas page by no later than 5 pm CT on Monday, October 19 (Click on the Assignment entitled “UT-Austin Salem Center Extra Credit”).

Zoom webinar link (no prior registration required).

Friedman, M. (1970), The Social Responsibility of Business Is to Increase Its Profits. New York Times Magazine, 13 September 1970, 122-126.

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