Volume 30, 2019
Proceedings of the Thirtieth Annual Meeting
Accountable Capitalism, Responsible Capitalism, and Political Capitalism
The Warren Proposal for an Accountable Capitalism Act
This paper compares three recent prescriptive proposals for practicing capitalism: Accountable Capitalism (Senator Elizabeth Warren), Responsible Capitalism (Professor R. Edward Freeman), and Political Corporate Social Responsibility (Professors Andreas Scherer and Guido Palazzo and colleagues). Warren’s Accountable Capitalism is a corporate governance reform proposal. Freeman’s Responsible Capitalism prescribes effective stakeholder management through entrepreneurial value creation. Political CSR (expanded here to Political Capitalism) is a prescription for democratization inside and outside of businesses and provision of public goods in instances of governmental incompetence. The rationale for this examination is the possibility of political crisis in the relationship between democracy and capitalism.