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Marris’s Model of the Managerial Enterprise

In: Modern Microeconomics

Author

Listed:
  • A. Koutsoyiannis

    (University of Waterloo)

Abstract

The goal of the firm in Marris’s model1 is the maximisation of the balanced rate of growth of the firm, that is, the maximisation of the rate of growth of demand for the products of the firm, and of the growth of its capital supply: In pursuing this maximum balanced growth rate the firm has two constraints. Firstly, a constraint set by the available managerial team and its skills. Secondly, a financial constraint, set by the desire of managers to achieve maximum job security. These constraints are analysed in a subsequent section.

Suggested Citation

  • A. Koutsoyiannis, 1975. "Marris’s Model of the Managerial Enterprise," Palgrave Macmillan Books, in: Modern Microeconomics, chapter 16, pages 352-370, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-349-15603-0_16
    DOI: 10.1007/978-1-349-15603-0_16
    as

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