Profit Is Not the Economy: Why Societies Must Rethink the Purpose of Business

Economists and policymakers have long treated corporate profit as the ultimate measure of economic success, but a growing school of thought now argues that this narrow obsession ignores the broader role businesses play in sustaining jobs, supporting industries, circulating wealth, and strengthening national productivity. In a new analysis, NOURICH challenges conventional capitalist thinking by arguing that businesses with low profits — or even strategic public losses — can generate far greater economic value than highly profitable firms, particularly when governments use public enterprises to stabilize markets, expand access to essential services, and drive long-term industrial development.