Creating a World Without Poverty: Social Business and the Future of Capitalism, by Muhammad Yunus (with Karl Weber). New York: BBS Public Affairs. 2007. Paperback: ISBN 13 978 1 58648 579 5, $16.00. 261 pages.
Journal of Economic Issues, pp. 289-290, March 2009
Posted: 9 Mar 2008 Last revised: 12 Mar 2009
In a stimulating book, Yunus introduces the concept of social business and would like to propagate it. Two different models of social business are proposed: a profit making company owned by the poor or a non-dividend issuing company targeting social issues. The first model suffers from the ability to define poor and monitor shareholding and the living standards of shareholders. The second model suffers from the fact that liquidating dividend is sufficient for profits ultimately to be made when the mission is over. Other issues are commented upon.
Keywords: Social business, poverty, behavioral finance, stakeholder theory, economic development, microfinance
JEL Classification: I30, O10, O17, P13, P16, P26
Suggested Citation: Suggested Citation