Economics question: HELP!!?

Question

1. From an economic perspective, profit is both unnecessary and unavoidable. Explain this apparent paradox?

2. What role does the entrepreneur play in our economic system. What is the essential difference between a manager and an entrepreneur?

Answer 1

1. From an accounting perspective, profit is unnecessary because corporate long term investments could be written off as expenses if accounting standards changed, therefore decreasing the necessity of profit. However, I do not believe that is a economic answer to the question. From a political econ as well as philosophical perspective, profit is unavoidable because human being are inherently selfish and will always seek profit. From a purely economic stand point, profit is the surplus of development and since nations will inevitably continue to develop in one form or another, profit is unavoidable. However, profit is unnecessary because nations do not need to change, but always do.