Question

Which was a MAJOR reason for the creation of corporations?

A. to increase wages for workers
B. to improve the quality of products
C. to promote the organization of labor unions
D. to raise large amounts of capital (money)

Answer 1

D. to raise large amounts of capital (money)

Step-by-step explanation:

The major reason why it came to the creation of corporations is the raise of large amounts of capital.

Corporations are suitable was collecting and raising capital from diverse sources, which allows them to raise large amounts of money, something that is much more unlikely with small businesses.

This has proved to be crucial in the history of the economy and had turned the development of the businesses after the industrial revolution and in the modern era. Thanks to all of these, the rise of corporations and their large capital in the US helped America become one of the leading forces in the world economy of the 20th century.