CHAPTER 3 DISCUSSION QUESTIONS1) Explain what an externality is.2) Why did Patricia Anerson sue General Motors?3) GM calculated that it could save how much money per automobile if it allowedpeople to die in fuel-fed fires rather than alter the design of vehicle to avoid suchfires?4) The jury awarded Anderson & her children how much money in compensatorydamages?5) The jury awarded Anderson & her children how much money in punitivedamages?6) How does the "science of exploitation" apply to Nike?7) What happened in the 1911 Triangle Shirtwaist Factory disaster?8) What was passed in 1938 by President Roosevelts administration that bannedsweatshops, child labor, & industrial homework?9) What % of all apparel operations in NYC are sweatshops?10) A US Department of Labor survey found that the overall level of compliancewith the minimum wage, overtime, & child labor requirements of the Fair LaborStandards Act is what %?
WHY DOES OUR SOCIETY HAVE LAWS & RULES?OBJECTIVE VS SUBJECTIVE DECISION MAKINGOBJECTIVE:-NOT INFLUENCED BY PERSONAL FEELINGS OR PREJUDICE.SUBJECTIVE:-INFLUENCED BY PERSONAL FEELINGS OR PREJUDICE.
ETHICS-A SYSTEM OF MORAL PRINCIPLES RELATING TO HUMAN CONDUCT.-A BRANCH OF PHILOSOPHY.-KNOWN AS “MORAL PHILOSOPHY.”-SEEKS TO ADDRESS HOW A MORAL OUTCOME CAN BE ACHIEVED IN ASPECIFIC SITUATION.MORALITY:-A CODE OF CONDUCT ABOUT WHAT IS RIGHT VS WHAT IS WRONG.RATIONALIZE:-TO INVENT PLAUSIBLE EXPLANATIONS FOR ACTIONS, DECISIONS, ETC.
THE GOLDEN RULE“ONE SHOULD TREAT OTHERS AS ONE WOULD LIKEOTHERS TO TREAT ONESELF, & ONE SHOULD NOT TREATOTHERS IN WAYS THAT ONE WOULD NOT LIKE TO BETREATED.”
UTILITARIANISM“THE PROPER COURSE OF ACTION IS THE ONE THATMAXIMIZES THE GREATEST GOOD FOR THE GREATESTNUMBER.”
WHAT ARE ETHICAL/MORAL DECISIONS THAT “CORPORATIONS” NEEDTO MAKE?
OFFSHORING“THE RELOCATION BY A COMPANY OF A BUSINESSPROCESS FROM ONE COUNTRY TO ANOTHER.”
CORPORATIONS LEGALLY ARE A “PERSON” BUT THEY ARE NOTPHYSICALLY A PERSON.THEY DO NOT HAVE THE ABILITY TO MAKE ETHICAL/MORAL DECISIONS,BUT………………..PEOPLE DO.
WHAT IS AN EXTERNALITY?-AN EFFECT ON AN ENTITY FROM A DECISION THAT THEENTITY DID NOT PLAY A ROLE IN MAKING & WHOSEINTERESTS WERE NOT TAKEN INTO ACCOUNT WHENMAKING THE DECISION.WHAT ENTITIES ARE AFFECTED BY EXTERNALITIES?1) EMPLOYEES2) CUSTOMERS3) ENVIRONMENTCLIP 4: EXTERNALITIES
COST-BENEFIT ANALYSIS:-“A REPORT GENERATED TO DETERMINE HOW WELL, OR HOW POORLY, APLANNED ACTION WILL TURN OUT.”1) IDENTIFIES, QUANTIFIES, & ADDS ALL THE POSITIVE FACTORS (BENEFITS).2) IDENTIFIES, QUANTIFIES, & SUBTRACTS ALL THE NEGATIVE FACTORS (COSTS).3) THE DIFFERENCE BETWEEN THE 2 INDICATES WHETHER THE PLANNED ACTIONIS ADVISABLE.
WHAT IS THE “SCIENCE OF EXPLOITATION?”“A BUSINESS PRACTICE WHEREBY CORPORATIONS TAKE ADVANTAGEOF CHEAP, FOREIGN LABOR IN ORDER TO MANUFACTURE PRODUCTSCHEAP & MAXIMIZE PROFIT.”