Corporation argue for various corporate governance

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Today, critics of the corporation argue for various corporate governance reform proposals to improve the legal, moral, and socially responsible behavior of the corporation. Which of the following is the most convincing argument for these proposals?

These proposals are advisable because corporate managers should never have any duty other than to maximize profits for the shareholders

These proposals are necessary because market forces invariably operate to deter any corporate misbehavior

These proposals are necessary because existing laws, though extensive, still have moral and social responsibility "gaps"

These proposals are inadvisable because they will reduce corporate ability to respond quickly to changing business conditions and therefore will create allocational inefficiency.

Reference no: EM13277479

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