Equity and performance
1776 Adam Smith says that managers will not watch over a business with the same vigilance as partners in a private company would watch over their own.
1932 US professor Adolf Berle and US economist Gardiner Means coin the phrase “the separation of ownership and control.”
1967 Canadian-American economist J. K. Galbraith says that shareholders no longer control the organizations they legally own.
2012 Larry Ellison of US computing corporation Oracle Inc. becomes the world’s highest-remunerated CEO, when he receives $96.5 million in pay, shares, and perks.
In an ideal business, directors pursue the company’s ...