Fisher separation theorem

In economics, the Fisher separation theorem asserts that a primary objective of a corporation will be the maximization of its present value, regardless of the preferences of its shareholders. The theorem therefore separates management's "productive opportunities" from the entrepreneur's "market opportunities". It was reported by—and is named after—the economist Irving Fisher.

The theorem has its "clearest and nearly famous exposition" II:VI.

The Fisher separation theorem states that:

Fisher showed the above as follows: