#UnderdevelopedThoughts
The profit motive seems to be important for innovation. Or at least entrepreneurialism. Someone setting up a business rightfully expects to profit from it. Self-interest is a big driver.
On the other hand, non-profits that exist for the interest of their members/employees or another group in society can focus on their mission, without the distraction of generating profit for the owners.
There must be a balance here. Is the answer stronger community and institutional infrastructure to promote the establishment of non-profits where there is a need?
Could there a threshold where a for-profit gets big enough that its role changes, and the owner is told "well done, you've had your reward, this organisation is bigger than you now" and refocusses as a non-profit on providing jobs and services as its objective, not making money for its owner?
#economics #capitalism #socialism