Public Corporation as Private Constitution Convegno “ Le Societa per Azioni Nel Mercato Globale: Evoluzione dei Modelli” Prof. Alan Palmiter Wake Forest University Winston-Salem, North Carolina March 17, 2008
North Carolina
Public corporation as private constitution
Sir William BlackstoneDoge Leonardo Loredano “It may be that universal history is the history of a handful of metaphors.” Jorge Luis Borges "The Fearful Sphere of Pascal” (1962)
“Vision without action is a daydream. Action without vision is a nightmare.” Japanese proverb
Organizational hierarchies
Family Member Tribe Member Leader
Members Law-making body Law-making body Executive delegates elect Agents Principals Specialized Hierarchies
US Constitution …
Shareholders We the People Government Corporation Congress Board of directors President (bureaucracy) Officers (bureaucracy) Judiciary Supreme Court Electoral college
US Corporation …
Shareholders We the People Government Corporation Congress Board of directors President (bureaucracy) Officers (bureaucracy) Judiciary Supreme Court Proxy voting (institutional investors)
Compare and contrast …
“Most important problems facing United Sates” GovernmentCorporation 1 Iraq 2 Economy / jobs 3 Health care 4 Immigration 5 Fix government 6 Energy 7 Terrorism 8 Education 9 Ethics / family 10 Environment Gallup (2008)
Shareholders We the People Government Corporation Congress Board of directors President (bureaucracy) Officers (bureaucracy) Judiciary Supreme Court Proxy voting (institutional investors) Electoral college
Shareholders We the People Government Corporation Congress Board of directors President (bureaucracy) Officers (bureaucracy) Judiciary Supreme Court Proxy voting (institutional investors) Electoral college ConstitutionCorporation
Albert O. Hirschman, Exit, Voice, and Loyalty: Responses to Decline in Firms, Organizations, and States (1970) Exit Voice Loyalty
Shareholders We the People Government Corporation Congress Board of directors President (bureaucracy) Officers (bureaucracy) Judiciary Supreme Court Proxy voting (institutional investors) Electoral college Voice
Shareholders We the People Government Corporation Congress Board of directors President (bureaucracy) Officers (bureaucracy) Judiciary Supreme Court Proxy voting (institutional investors) Electoral college Loyalty
Shareholders We the People Government Corporation Congress Board of directors President (bureaucracy) Officers (bureaucracy) Judiciary Supreme Court Proxy voting (institutional investors) Electoral college Exit
The end