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Profit Share

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Profit Share 

(Russian tant’ema, from French tantième), one of the forms of compensation paid out of profits to the board members and managers of joint-stock companies, insurance companies, banks, and other capitalist enterprises. The profit share is usually fixed at a certain percentage of net earnings. The use of the profit share has become especially widespread during the epoch of imperialism.



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Business Sector Profitability to Strengthen The profit share (33) in the business sector increased somewhat further in 2005 after recovering significantly from a low point in 2001 (see Table 26) and Diagram 154).
In that model, a mandated profit share lowers wages and raises net profits, thereby inducing the entry of firms into the market, unambiguously lowering unemployment and leaving the real wage unchanged in general equilibrium.
This is also why we in the management group have decided to forego our entire profit share for 2007 which is estimated to cover a significant part of the write-off," says Stig Vilhelmson, CEO of Carnegie.
 
 
 
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