One of the most important things that determine how competitive the economy will be in the long term is how corporations are run: who owns them and how their executives are selected and compensated.
In an ideal world, corporate governance would serve everyone well. Shareholders would be able to easily sell their holdings when they needed cash but would be patient enough that managers could think long-term without seeing their share price walloped. Board members would be independent-minded representatives of shareholders and drive a hard bargain on executive pay, yet they would be able to work closely and collaboratively with executives to come up with the best strategy.
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