Adolph Berle and Gardiner Means argued that widely held corporations will be run inefficiently by professional managers. Yet large, publicly-traded corporations continue to produce the bulk of the free world's output. The widely held corporation survives because:

Question

Quizplus · Accepted Answer

Widely held corporations can raise capital from a large pool of diversified investors, which allows them to fund large-scale operations and investments, contributing to their survival and success.

Adolph Berle and Gardiner Means Argued That Widely Held Corporations