America's new CEOs are telling the wrong story about capitalism

Shareholders actually love good corporate behavior

Tim Cook.

There's scant evidence that American CEOs are too short-term focused. Well, until now that is. A veritable hotel conference room full of suits — including the bosses at Apple, JPMorgan, and United Airlines — signed a joint letter Monday attempting to clarify their raison d'être. Yes, they care about shareholders — but also much love to other "essential" stakeholders: customers, suppliers, employees, and communities.

But while this clever bit of PR may generate a day or two of positive buzz, it risks muddying the longer-term public perception of what American capitalism is actually all about.

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James Pethokoukis

James Pethokoukis is the DeWitt Wallace Fellow at the American Enterprise Institute where he runs the AEIdeas blog. He has also written for The New York Times, National Review, Commentary, The Weekly Standard, and other places.