Prestigious business schools across the country are adding more opportunities to study diversity equity and inclusion (DEI) and environmental, social, and governance (ESG), a trend that’s expected to continue, professors told the Daily Caller News Foundation.
ESG prompts investors to consider factors such as environmental impact and social awareness when making investments, while DEI is a push to increase diversity and inclusion initiatives in institutions such as schools and the workplace. Harvard University, the University of Pennsylvania (UPenn), and Bentley University all offer courses in both subjects as they grow more prominent.
The Supreme Court’s decision in Dobbs v. Jackson Women’s Health Organization was a long-awaited victory for life. While Dobbs did not make abortion illegal, it did empower the residents of all 50 states to democratically determine abortion’s legal status through their elected representatives. Currently, 22 states provide or will soon provide protection for unborn children. The other 28 states place few or no limits on abortion. The abortion battle will now move to the ballot box in each state.
Only a few years after “woke capitalism” was touted as the wave of the future, its supporters are getting a wakeup call of their own.
Just ask BlackRock CEO Larry Fink. The tone of his 2022 letter to CEOs is very different from his previous two, both of which pushed Environmental, Social and Governance (ESG) investment criteria and “stakeholder capitalism” relentlessly. As far as Fink was concerned, ESG, “sustainability,” and the agenda for what we have termed “woke capital” would dominate the markets for years, while he and his $10 trillion asset management behemoth would, in turn, dominate them. Fink was to be king of the stakeholder world.
Judged by BlackRock CEO Larry Fink’s latest letter, January 2022 might turn out to be the highwater mark of woke capitalism. Stakeholder capitalism is not “woke,” Fink says, because capitalism is driven by mutually beneficial relationships between businesses and their stakeholders. He’s right. What Fink describes is capitalism pure and simple, the stakeholder modifier adding nothing to the uniqueness of capitalism in harnessing competition and innovation for the benefit of all.
Fink’s shift is more than rhetorical. Just three years ago, in his 2019 “Profit and Purpose” letter, Fink told CEOs that the $24 trillion of wealth Millennials expect to inherit from their Boomer parents meant that ESG (environment, social, governance) issues “will be increasingly material to corporate valuations.” Now Fink tells them that “long-term profitability” is the measure by which markets will determine their companies’ success, dumping the ESG valuation metrics he’d previously championed.