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Question
As the opening case pointed out, on the positive side private, equity firms excel in all the following ways EXCEPT:
a. They reduce income inequality between financiers and the rest of us.
b. They use a high level of debt that imposes strong financial discipline.
c. Private equity turns managers from agents to principals with substantial equity, thus providing a powerful incentive to them.
d. They pay managers more generously, but also punish failure more heavily.
Answer
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Related questions
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Although framed in a domestic versus overseas context, the heart of this debate boils down to the foundational thorny point that frustrates CSR advocates: In a capitalist society, the shareholdersotherwise known as capitalistsare the ones who matter at the end of the day.
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Q:
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