Question

Profit maximisation aim of business may lead to social equality. (True/False)​

Answer 1

The profit maximisation aim of business may lead to social equality - True

• Maximizing profit is a firm's traditional strategy and principal goal. It ensures that any decision relating to business is calculated in the light of the gain.
• The aim of profit maximisation implicitly provides for the social welfare and social equity.
• Profits in business prove efficient resource utilization and allocation. The distribution of resources and the payments for land , labour, capital, money, and organization is responsible for the overall social and economic welfare.