Missing the Target (Hardcover)

Mark J. Roe

ISBN 10: 0197625622 / ISBN 13: 9780197625620

Published by Oxford University Press Inc, New York, 2022

About this Item

Hardcover. Why stock-market short-termism is not causing severe damage to the American economy According to many political leaders, pundits, and corporate lawmakers, stock-market-driven short-termism - when corporations prioritize immediate results in the next quarter over their longer-term interests - is harming the American economy. This view, popular in influential circles, sees short-termism as causing sharply declining research anddevelopment (R&D), too many stock buybacks, and severe environmental harm. But the data fits badly with this black-and-white representation of short-termism. Mark J. Roe analyzes the best data onR&D, corporate borrowings and buybacks, and long-term investment trends to show that stock market short-termism is not at the root of these economic problems. The book shows that blaming short-termism overlooks the real causes of declining investment, R&D changes, and environmental deterioration. By pointing to other sources of tension like accelerating technological change, rising political uncertainty, and repeated economic disruptions, Missing the Target argues for amore nuanced understanding of the challenges to the American economy. Roe disproves many of the core claims against short termism. R&D spending, for example, is rising faster than the economy is growing. It's government R&Dsupport that's been falling. Reversing that decline is the best first target for bettering American R&D. Missing the Target deepens the discussion of the American economy by analyzing the factors that contribute to current trends and by making a bold but straightforward claim: stock market short-termism is not the problem. Missing the Target challenges the view that stock-market-driven short-termism is severely damaging the American economy. Mark J. Roe shows that the evidence does not support that view, examines why this issue is popular, why the issue continues to grip lawmakers, and why they are mistaken in according it much weight. Shipping may be from our UK warehouse or from our Australian or US warehouses, depending on stock availability.

Seller Inventory # 9780197625620

Bibliographic Details

• Title: Missing the Target (Hardcover)
• Publisher: Oxford University Press Inc, New York
• Publication Date: 2022
• Language: English
• ISBN 10: 0197625622
• ISBN 13: 9780197625620
• Binding: Hardcover
• Condition: new

About this title

Synopsis

Why stock-market short-termism is not causing severe damage to the American economy

According to many political leaders, pundits, and corporate lawmakers, stock-market-driven short-termism - when corporations prioritize immediate results in the next quarter over their longer-term interests - is harming the American economy. This view, popular in influential circles, sees short-termism as causing sharply declining research and development (R&D), too many stock buybacks, and severe environmental harm. But the data fits badly with this black-and-white representation of short-termism.

Mark J. Roe analyzes the best data on R&D, corporate borrowings and buybacks, and long-term investment trends to show that stock market short-termism is not at the root of these economic problems. The book shows that blaming short-termism overlooks the real causes of declining investment, R&D changes, and environmental deterioration. By pointing to other sources of tension like accelerating technological change, rising political uncertainty, and repeated economic disruptions, Missing the Target argues for a more nuanced understanding of the challenges to the American economy. Roe disproves many of the core claims against short termism. R&D spending, for example, is rising faster than the economy is growing. It's government R&D support that's been falling. Reversing that decline is the best first target for bettering American R&D.

Missing the Target deepens the discussion of the American economy by analyzing the factors that contribute to current trends and by making a bold but straightforward claim: stock market short-termism is not the problem.

About the Author

Mark J. Roe is the David Berg Professor of Corporate Law at Harvard Law School. His research focuses on corporate structures and how they relate to politics, interest groups, and popular opinions of the corporation.