Social Responsibility of Business Is Term Paper

Enron Fraud

by Milton Friedman, who famously argued that the social responsibility of business is to increase its profits. The profits are then dispersed to shareholders, and the shareholders can do with these earnings as they please. Underlying the argument is the idea that business is a vehicle for financial investment, i.e. the creation of wealth. Friedman pointed out specifically that business had to operate within the bounds of the law: “to make as much money as possible while con­forming to the basic rules of the society, both those embodied in law and those embodied in ethical custom” (Friedman, 1970).… Continue Reading...