Yet when your business school classmates start sounding a little leftist, it truly is time for a reality check. Meritocratic arguments translate well to the business sector.
Productivity is maximized by tapping the individual actor s most powerful motivator.
Either way, for families, firms and nations alike, it serves an important function maximizing in the presence of external threat. Capitalism has served us well in those conditions. But with those resources secured, internal redistribution becomes imperative, in both the family and the national unit, for three reasons. First, unlike the firm s output, a nation like a family integrates complex and often conflicting internal goals. One example is our desire to maintain museums, despite the fact that those resources could produce higher marginal gains in industry.