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Corporate compensation and new regulations considering state
Primary Objective of the Corporation
The primary objective of the corporation is value maximization. Given the recent collapse and bailouts of several institutions one could argue management seeks personal gains in lieu of increasing value to the shareholders. The President has even issued several statements concerning his thoughts on corporate greed.
What are your thoughts regarding corporate compensation and the potential need for new regulations given the current state of the economy, corporate bankruptcies and bailout of institutions?