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Corporate Social Responsibility in a Market Economy: The Perspective of Constitutional Economics

In: Corporate Social Responsibility and Corporate Governance

Author

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  • Viktor J. Vanberg

Abstract

Since Milton Friedman (1970) declared that ‘the responsibility of business is to increase its profits’ the literature on corporate social responsibility (CSR) has grown exponentially, and sorting out the variety of arguments that academic researchers on, and political advocates of, corporate social responsibility have advanced is a Sisyphean task.1 Confining itself to a highly selective review, the purpose of the present paper is to identify and examine some of the more fundamental arguments by approaching the matter from the perspective of constitutional economics.

Suggested Citation

  • Viktor J. Vanberg, 2011. "Corporate Social Responsibility in a Market Economy: The Perspective of Constitutional Economics," International Economic Association Series, in: Lorenzo Sacconi & Margaret Blair & R. Edward Freeman & Alessandro Vercelli (ed.), Corporate Social Responsibility and Corporate Governance, chapter 6, pages 131-156, Palgrave Macmillan.
    • Handle: RePEc:pal:intecp:978-0-230-30211-2_6
    DOI: 10.1057/9780230302112_6
    as

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