Corporate Responsibility and the Theory of the Firm

Abstract

Corporate Responsibility is an underexplored concept in the Theory of the Firm. Drawing on classic, but overlooked, works by Maurice Clark, Howard Bowen, and others, this paper discusses the relevance of an economics of responsibility for firms operating in inefficient and incomplete market economies, with particular reference to the carbon emissions externality and climate change.

Keywords: Corporate Responsibility

JEL Classification: B10, D01, D02, D21, D62, D70, G30, L20, M14