Checks Quote by Louis D. Brandeis
“Ownership has been separated from control; and this separation has removed many of the checks which formerly operated to curb the misuse of wealth and power.”
About This Quote
Source Essay: Other People's Money and How to Use It, 1914
When owners cannot direct their firms, they lose the ability to monitor and limit managerial excesses, weakening accountability.
In simple terms: Owners lose control, managers may abuse power.
Key Takeaway
Ensure governance mechanisms protect shareholders.
Themes
corporate governance
power
accountability
Mood
cautious
critical
Type
analytical
warning
When to use this quote
- shareholder meetings
- board oversight
- regulatory audits
- activist investing
Key Concepts
agency theory
principal‑agent problem
Questions to Reflect On
- How can shareholders regain effective oversight?
- What safeguards best limit managerial abuse?
A Different Perspective
Even with oversight, entrenched interests can still evade detection.
![“When the fountains of government [borrowing] abundance began to dry up, when through lack of funds and the impossibility of negotiating fresh loans the state was forced to check the extension of bureaucracy and to put a stop to public works, then and then only did the Italians realize what it…” quote by John T. Flynn](https://sms4smile.com/quotes/img-quotes/908/john-t-flynn-18493_abundance_when-the-fountains-of-government-borrowi_2663.jpg)
