Why is the private sector more efficient in utilizing resources in comparison to the government?

Tutor's Answer

(Top Tutor) Studyfaq Tutor
McGee supports an alternative view that the private sector is more efficient in utilizing resources in comparison to the government. Porter and Kramer also supported this theory, arguing that when a business applies its expertise to problems that it has a stake in, it can have a greater social impact than other organizations. This shows managers or influential stakeholders do not necessarily view corporate taxes to be the best way to achieve their social responsibility goals. With this view in mind, paying fewer taxes may result in greater social benefits. Disparity arises between evidence of the relation between CSR activities and Tax avoidance. Research supporting a positive relationship, argues that companies engage in CSR activities to offset negative perceptions of tax avoidance (forum). Conversely, Friedman argues that firms dedicate resources to CSR activities only when such activities maximize shareholder wealth....
Completed Work