Roland Bénabou Jean Tirole

Individual and Corporate Social Responsibility

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Society's demands for individual and corporate social responsibility as an alternative response to market and distributive failures are becoming increasingly prominent. We first draw on recent developments in the «psychology and economics» of prosocial behavior to shed light on this trend. We then link individual concerns to CSR, contrasting three possible understandings of the term: the adoption of a more long-term perspective by firms, the delegated exercise of prosocial behavior on behalf of stakeholders, and insider-initiated corporate philanthropy. For both individuals and firms we discuss the benefits, costs and limits of socially responsible behavior as a means to further societal goals.


  • Individual and Corporate Social Responsibility
  • Prosocial Behavior


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