The Benefits or Disadvantages of Profit Maximization

| February 6, 2014

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The “stockholder view” put forward by Milton Friedman holds that managers should always seek to maximize profits. Proponents of this view make the utilitarian claim that maximizing profits will promote the general welfare. How, according to this view, will maximizing profits promote the general welfare? Do you agree or disagree with Friedman? Explain why.
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