Fisher Separation Theorem

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Definition: Fisher Separation Theorem

Fisher Separation Theorem
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Full Definition of Fisher Separation Theorem

A theory which suggests that a firm will attempt to maximize its present value, no matter what the firm owners may think are their personal objectives. The separation theorem hypothesizes that firm owners will make decisions to first maximize the present value, and only then make decisions which will bring them closer to reaching their personal goals. This theorem was developed by the well-known economist Irving Fisher.

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https://payrollheaven.com/define/fisher-separation-theorem/
Modern Language Association (MLA):
Fisher Separation Theorem. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
April 20, 2024 https://payrollheaven.com/define/fisher-separation-theorem/.
Chicago Manual of Style (CMS):
Fisher Separation Theorem. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
https://payrollheaven.com/define/fisher-separation-theorem/ (accessed: April 20, 2024).
American Psychological Association (APA):
Fisher Separation Theorem. PayrollHeaven.com. Retrieved April 20, 2024
, from PayrollHeaven.com website: https://payrollheaven.com/define/fisher-separation-theorem/

Definition Sources

Definitions for Fisher Separation Theorem are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 17th November, 2021 | 0 Views.