Friedman's 'The Social Responsibility of Business is to Increase its Profits': A Summary and Explanation

In his article, 'The Social Responsibility of Business is to Increase its Profits,' Milton Friedman argues that businesses should prioritize increasing profits and fulfilling their fiduciary responsibility to shareholders, rather than engaging in social responsibility or philanthropy. He believes that businesses should not use their resources to address social issues, as this is the responsibility of individuals and the government.

Friedman cites the example of a hypothetical businessman who decides to use company funds to support a social cause, such as combating pollution. While this may seem admirable, Friedman argues that the businessman is essentially using other people's money (i.e. the shareholders) to pursue his personal values, without their consent. He contends that if the businessman truly cares about the cause, he should use his own money to support it.

Overall, Friedman's viewpoint is that businesses should focus on making profits and leave social responsibility to individuals and the government.