Post a New Question

Economics

posted by .

3.The Theory of the Firm document, the Friedman article, and the information in chapter 4 argue that the main goal of a firm in a market economy is to maximize profit (shareholder wealth) over the long term. However, SEC regulations require U.S. corporations to publish operating results on a quarterly basis. How does this short term time frame impact long term profit maximization? Should the SEC change their regulations of public corporations to require only annual reporting of operations? How might this impact stock price in the short term? How do you believe that management deals with these two sometimes competing goals?

  • Economics -

    I'll be glad to comment on your answers.

Answer This Question

First Name:
School Subject:
Answer:

Related Questions

More Related Questions

Post a New Question