Within Christian social ethics different conceptions of market economy are related to different theories of justice. In this article the understanding of justice in the economic ethics of Ronald Preston will be analysed. Here will also be discussed some conceptions of justice which are developed within a Swedish research project on ethics and economics. Justice is often treated in terms of equal distribution, but there are different ideas about what objects can be distributed equally.

Mucopolysaccharidosis VI is an autosomal recessive lysosomal storage disorder associated with severe disability and premature death. The presence of a mucopolysaccharidosis-like disease in indigenous ethnic groups in Colombia can be inferred from archaeological findings. There are several indigenous patients with mucopolysaccharidosis VI currently receiving enzyme replacement therapy. We discuss the ethical and economic considerations, regarding both direct and indirect costs, of a high-cost orphan disease in a marginalised minority population in a developing country.

The relationship between ethics and economics in the modern age is typically viewed as external. This view is usually articulated in the notion that for economic relations to be ethical, an ethic must be imposed. Otherwise, economic relations are amoral. I try to show how the relationship is actually best explained by adopting an explanatory framework of inter-dependent arising, according to which the emergence and development of both ethical and economic relations is a matter of (...) mutual determination. Ethical values emerge in the course of developing economic relations and, in turn, direct or at least implicate economic relations. The consequences of such a view, however, are that exchange values inform moral concepts and moral concepts help frame economic ones. I offer an argument that starts with a description of an historical relationship between two disparate cultures. The interactions between these cultures were determined initially by trade and then military interests. These interests eventually underwent pressure to evolve into legal and even religiously informed arrangements that necessarily involved certain moral values. Using a presupposition analysis, I show how this evolution was no accident and did not depend on some agent imposing the moral values onto the relationship. Rather, those values arose as a matter of course. In conclusion, the paper advances the idea that, since the relationship between ethics and economics is internal, the ethics of economic relations needs to be formulated more in terms of understanding what economic relations are fundamentally designed to achieve. (shrink)

In lieu of an abstract, here is a brief excerpt of the content:Reviewed by:Kantian Ethics and Economics: Autonomy, Dignity, and CharacterIvan A. BoldyrevMark D. White. Kantian Ethics and Economics: Autonomy, Dignity, and Character. Stanford, CA: Stanford University Press, 2011. Pp. xi + 270. Cloth, $55.00.This remarkable book provides a new ethical perspective for economics based on Kantian ethics of autonomy and dignity. There are two main messages in it that I find particularly important. First, Mark White derives (...) from Kant the idea of irreducible moral principles that govern the behavior of economic agents independently of welfarist and, more generally, consequentialist concerns. These principles of duty and the “incomparable worth” (21) of human dignity, as well as justice or rights, may not be economically traded off against some other motivations; hence, they simply evade economic reasoning altogether.Second, White endorses a version of libertarian Kantianism that treats people as individuals in essence (“autonomous”) and social in orientation (respecting the rights and the choices of the others). In discussing individualism, White attacks the conventional wisdom of economics and claims that preferences alone do not account for the identity of individuals [End Page 298] in space and time, although their unique characters do. Persons should be given free choice (absent in deterministic rational-choice models) and hence responsibility for their choices that incorporates the social factors in decision-making. However, White never mentions the almost insurmountable difficulties associated with fleshing out the truly individual features of a given person. Although he allows for a person’s identity and character changing over time, he does not recognize that character itself is in many respects a social construction.White criticizes paternalistic economic policies that suggest manipulating choice environments in order to follow the “true” preferences of the individuals. Instead, real consent, as satisfying both relevant preferences and principles (e.g. rights and human dignity), is, in his view, the sole criterion for justifying particular policy measures—not Pareto-efficiency or Kaldor-Hicks compensation. Economists’ obsession with efficiency leading to the misconceived notions such as “efficient level of crime” or “manageable level of terrorism” is also severely criticized.For White, the most popular formalistic version of the categorical imperative is less important than the other two—prohibiting treating other people simply as means and instituting the “Kingdom of Ends.” Formalism is reserved merely for the negative evaluation of actions and providing strict perfect duties that give clear guidance concerning what should not be done. White’s “Kantian-economic” model of decision-making incorporates perfect duties as constraints, and imperfect (positive) duties as preferences. He also stresses that for Kant, duties derived from the imperative depend on empirical knowledge, the context of decision-making, and judgment as a unique personal interpretation of the moral law. He further emphasizes the intersubjective role of Kantian morality: moral law should be universalizable to all rational persons (the “Kingdom of Ends” formula of the imperative), whereas rationality means not just following the patterns of behavior developed in the preference-oriented choice model, but rather acting on one’s beliefs and desires or choosing not to follow them, thus exhibiting genuine autonomy.The new and important contribution to the discussion is an explicit treatment of will as an inner faculty that, together with judgment, constitutes a person’s character or “self,” and helps to overcome the mere inclination to follow duty. Will is the missing link between decision and action and should be “well-trained” for bringing about true morality.The book is clearly written, and the author has upheld the interdisciplinary appeal of the topic, demonstrating an outstanding knowledge of the vast literature on ethics (both Kantian and not) and economics. White’s emphasis on the irreducibility of moral principles is absolutely relevant for current economic and political debates. However, some reservations are in order.There is an ambiguity concerning the status of his analysis. If in its positive aspect White’s recommendations for economists is to accept the Kantian vision of morality, then almost no arguments are given for this, and his modifications of the standard choice model are introduced in an ad hoc manner, just to reconcile it with the Kantian framework. Are an individual’s decisions to act on principles and to overcome mere inclinations really... (shrink)

This paper attempts to better define the areas of conflict and agreement between value ethics and the theoretical ethics of the market processes at work in the biotechnology industry. Despite the apparent lack of ethics in an oligopolistically competitive pharmaceuticals industry, the paper concludes that the current stage of development of the medical biotechnology subindustry offers unparalleled opportunities for ethical systems to influence the market-based development of biotechnology. Ethical conversations between doctors and biologists with ethicists (...) can help the market absorb more of the reflective wisdom that ethics brings when discussing such issue areas as justice, patents of the human genome, and modifications of the human genome. If conversations between ethicists and biotechnological managers and doctors are successful the metaphors of market-based financing may be refined and the knowledge base of the good increased. (shrink)

This essay serves as an introduction to five papers on economic inequality in this issue of the Journal of Religious Ethics. In addition to introducing the articles individually, the essay also gives a brief overview of recent economic developments that have led religious ethicists to call attention to the issue of inequality.

Recent economic and political advances in developing countries on the African continent and South East Asia are threatened by the rising death and morbidity rates of HIV/AIDS. In the first part of this paper we explain the reasons for the absence of affordable access to essential AIDS medication. In the second part we take a closer look at some of the pivotal frameworks relevant for this situation and undertake an ethical analysis of these frameworks. In the third part we (...) discuss a few of the proposed solutions to the problem and conclude with an argument in support of our preferred course of action. In this article we argue for compulsory licensing of essential AIDS medications in the current conditions of public health emergency. We argue on broadly consequentialist grounds that compulsory licensing is preferable both morally and pragmatically to the alternatives, notably the currently offered price cuts and drug donation schemes. (shrink)

Despite decades of empirical happiness research, there is still little evidence for the positive effect of economic growth on life satisfaction. This poses a major challenge to welfare economic theory and to normative conceptions of socio-economic development. This book endeavours to explain these findings and to make sense of their ethical implications. While most of the existing literature on empirical happiness research is ultimately interested in understanding how to improve human lives and societal development, the (...) ethical backdrop against which these findings are evaluated is rarely made explicit. In contrast to this, Professor Hirata focuses on the role happiness should play in an ethically founded conception of good development. Taking a development ethics perspective, this book proposes a nuanced conception of happiness that includes both its affective and its normative dimensions and embeds this in a comprehensive conception of good development. The argument is that happiness should not be regarded as the only thing that determines a good life and that good development cannot sensibly be thought of as a matter of maximizing happiness. Happiness should rather be seen as an important indicator for the presence or absence of those concerns that really matter to people: the reasons that give rise to happiness. This book should be of interest to students and researchers of economics, psychology and development studies. (shrink)

During the last two or three decades, various developments in the environmental sphere have led to increasing concern with our obligations to posterity and to the non‐human part of the natural world. These developments have exposed gaps in both traditional, moral, and political theory and in conventional economics. Environmental issues have exposed these gaps and have brought to the fore questions such as how far the society, with whose welfare we are concerned, includes future generations or is limited to individual (...) nations or human beings. This book examines these questions as well as related ethical aspects of environmental policy, such as environmental valuation or the equitable allocation among nations of the burden of environmental protection. (shrink)

Although much has been written about multinational behaviour in developing countries, little attention has been paid to the individuals and organisations which influence the environment within which the multinationals operate. The author argues for an absolute moral approach to macro‐economic considerations and a more relative ethical approach at the micro‐level of individual cultures. He is completing his MBA at London Business School after having spent several years working in several continents in the development industry.

This paper reviews an ongoing debate about moral standards for vocational education in German speaking countries. At the centre of the controversy is the question of universalistic versus domain‐specific moral orientations, namely the question of whether business people ought to develop different moral points of view in different situations (such as ‘private’ versus ‘professional’). Of pivotal importance in this context is also a prominent ethical approach (by Karl Homann, a philosopher in the tradition of liberal economists) which serves as a (...) foundation for those who advocate domain specificity and which is strongly criticized by their counterparts. This approach is also presented, since the author believes that it does not entail all of what its protagonists claim. Moreover, as argued in the last section, the purported dichotomy of universalism versus domain specificity may even be entirely overcome. The point is that Homann's ethics perhaps do not fit into the framework of Kohlberg's six stages and might therefore be reconstructed as entailing moral segmentation. However, it is well accommodated by a more comprehensive stage taxonomy suggested by the author. (shrink)

This paper analyses the cognitive image schemas structuring the ontological commitments of dominant conceptions of ethics and economics to show that the content of economics is implicated in conceptions of ethics, and that these conceptions cannot be separated from questions of research and professional ethics. This analysis of the metaphoric structuring of the ontological commitments of ethics and economics is based on an extension of Kuhn's construct sense of 'paradigm' as concrete analogy; and on techniques of (...) metaphoric analysis developed in cognitive linguistics. Analysis of the iconic and schematic representations of the concrete analogies and idealised cognitive models structuring economic and ethical theories expose both shared and conflicting ontological commitments. Read the Open Peer Discussion on this paper ». (shrink)

This paper develops a normative evaluation of the minimum wage in the light of recent evidence and theory about its effects. It argues that the minimum wage should be evaluated using a consequentialist criterion that gives priority to the jobs and incomes of the worst off. This criterion would be accepted by many different types of consequentialism, especially given the two major views about what the minimum wage does. One is that the minimum wage harms the jobs and incomes of (...) the worst off and the other is that it does neither much harm nor much good. The paper then argues at length that there are no important considerations besides jobs and incomes relevant to the assessment of the minimum wage. It criticizes exploitation arguments for the minimum wage. It is not clear that the minimum wage would reduce exploitation and the paper doubts that, if it did, it would do so in a morally significant way. The paper then criticizes freedom arguments against the minimum wage by rejecting appeals to self-ownership and freedom of contract and by arguing that no freedom of significance is lost by the minimum wage that is not already taken account of in the main consequentialist criterion. The conclusion is that, at worst, the minimum wage is a mistake and, at best, something to be half-hearted about. Footnotes1 My thanks to Paul Brown and Jerry Cohen for their written and verbal help, Andrew Williams for long discussions of this paper, two anonymous referees and the editors, and audiences at the Universities of Auckland, Newcastle, and Reading. (shrink)

The Encyclical-Letter Caritas in Ventate by Pope Benedict XVI suggests to advance towards a new conceptualization of the tenuous relationship between economics and ethics, proposing a "new humanistic synthesis" Where social encyclicals have traditionally justified policy proposals by natural law and theological reasoning alone, Caritas in Ventate gives great relevance to economic arguments. The encyclical defines the framework for a new business ethics which appreciates allocative and distributive efficiency, and thus both markets and institutions as improving the (...) human condition, but locates their source and reason outside the economic sphere. It places a clear accent on the ontological connectedness of the economic and ethical dimensions of human action. It is the proper ordering of means towards the end of integral human development that allows mankind to leave a vicious circle of consumerism and enter a virtuous circle that applies the creativity fostered by markets. This vision implies a new model of business management that integrates considerations of vocation, purpose, and values at a theological level. (shrink)

This article analyzes efforts in Nicaragua to create ethical organizations and an ethical economy. Three societal ethea found in contemporary Nicaragua are examined: the ethos of revolution, the ethos of corruption, and the ethos of human development. The emerging ethos of human development provides the most hope for the nation's social and economic evolution. The practices of three successful economic development organizations explicitly aligned with the ethos of human development are described and evaluated: (1) (...) a microfinance foundation (FDL), (2) a federation of cooperatives (FENACOOP), and (3) a local branch of an international NGO (IO-Nicaragua). The article concludes with additional reflections on the meaning of ethical organizations and an ethical economy in the context of contemporary Nicaragua. (shrink)

In recent years, business ethics and economic scholars have been paying greater attention to the development of commons organizing. The latter refers to the processes by which communities of people work in common in the pursuit of the common good. In turn, this promotes commons organizational designs based on collective forms of common goods production, distribution, management and ownership. In this paper, we build on two main literature streams: the ethical approach based on the theory of the (...) common good of the firm in virtue ethics and the economic approach based on the theory of institutions for collective action developed by Ostrom’s research on common-pool resources to avert the tragedy of the commons. The latter expands to include the novel concepts of new commons, “commoning” and polycentric governance. Drawing on the analysis of what is new in these forms of organizing, we propose a comprehensive model, highlighting the integration of two sets of organizing principles—common good and collective action – and five problem-solving processes to explain the main dimensions of commons organizing. We contribute to business ethics literature by exploring the convergence between the ethical and economic approaches in the development of a commons organizing view. (shrink)

The challenge that confronts corporate decision-makers in connection with global labor conditions is often in identifying the standardsby which they should govern themselves. In an effort to provide greater direction in the face of possible global cultural conflicts, ethicistsThomas Donaldson and Thomas Dunfee draw on social contract theory to develop a method for identifying basic human rights: Integrated Social Contract Theory (ISCT). In this paper, we apply ISCT to the challenge of global labor standards, attempting to identify labor rights that (...) could serve as guides for corporations producing or outsourcing outside of their home country. In addition to identifying areas of universal agreement, we also examine whether ISCT is, in fact, a sufficient basis for determining worker rights; we seek to define the parameters of the “sweatshop” problem; we include the application and results of our ISCT analysis as applied to labor standards: the global labor rights hypernorms; and conclude that ISCT is sufficient only for rights that are universal. We also discuss whether market-driven decisions can identify the boundaries of labor rights, or at least assure that market outcomes are compatible with maintaining labor rights, in order to respond to the shortcomings of ISCT. We conclude with some comments on directions of analysis for labor rights determination. (shrink)

Although much has been written about multinational behaviour in developing countries, little attention has been paid to the individuals and organisations which influence the environment within which the multinationals operate. The author argues for an absolute moral approach to macro‐economic considerations and a more relative ethical approach at the micro‐level of individual cultures. He is completing his MBA at London Business School after having spent several years working in several continents in the development industry.

The primary aim of the text is to introduce the reader to the relationship between economics and ethics and to the application of economic ethics in the evaluation of the market. The reader will gain insight into: * The ethical and methodological strategy of economics and criticism of the core assumptions that underpin the economic defense of free market operation. * The characteristics of different ethical theories (utilitarianism, duty and rights ethics, justice and virtue (...) class='Hi'>ethics) that can be used to evaluate the free market. * How to apply economics in conjunction with ethical theories to evaluate economic trends and policies that promote the free operation of the market and are subject to public debate. These insights will help to develop the reasoning and analytical skills needed to criticize economic analysis as well as to apply ethical concepts to moral issues in economic policy. (shrink)

The end of the cold war has elevated environmental issues to the highest level of concern for humanity while creating a world order dominated by the United States of America and other Western nations. This new power structure may likely lead to increased business activity in many parts of the world, as nations formerly preoccupied with the cold war turn their attention to economic development. This paper examines the linkages among ethics, economic development and protection (...) and restoration of the environment in The New World Order. (shrink)

This paper examines the association between level of economic development and corporate social responsibility (CSR) in a country, with speculations on howadvances in economic development may alter the scope and application of CSR activities. Through the empowerment of local communities and the intersection of ethical leadership approaches of business, local governments and civil society, remedies are suggested for improved economic development management.

Contemporary economic thought presumes that individuals in a society always act according to their self-interest or private economic incentives, while important ethical motivations for action, such as a concern for others and public interest, are largely ignored. This paper is based on my experience of teaching an undergraduate course that highlighted the divergence between economic incentives and ethical motives for action in present-day life and business. Teaching tools such as lectures, case and group discussions were employed to (...) address important ethical dilemmas of individuals and managers in contemporary societies. Readings underscored the evolving relationship of business ethics and economic incentives, and the relevance of ancient ethical principles (e.g., Ethics of Interdependence, and Ethics of Prudence and Self-Development) to present-day business ethics. The course emphasized the imminent need in contemporary societies to reduce the divergence between economic incentives and ethical motives for action, and called for a greater understanding of business ethics today, given the complex ethical concerns that managers confront in the current global environment. (shrink)

In his essay?The Protestant Ethic? Max Weber explains the specific economic development and the foundation of capitalism in Western Europe due to the appearance of protestant sects and the?spirit of capitalism?. By doing so, Weber assigns religion a significant place among the factors of social and economic development. Taking Weber?s theory and argumentation as a starting point, this article drafts a thesis on?orthodox ethic? and determines its role in the development of the?spirit of capitalism? in (...) orthodox countries. For that purpose this article compares political-historical circumstances on the territory of the Western and Eastern Church on one, and pictures the theological-philosophical basis of both Protestantism and Orthodoxy on the other side. U svom eseju?Protestantska etika? Maks Veber specifican ekonomski razvoj i utemeljenje kapitalizma u zemljama Zapadne Evrope objasnjava po?javom protestantskih sekti i svojevrsnim protestantskim?duhom kapitalizma?, dodeljujuci na taj nacin religiji znacajno mesto medju ciniocima drustvenog i ekonomskog razvoja. Polazeci od Veberove teorije i argumentacije, u ovom radu se zeli postaviti teza o?pravoslavnoj etici? i odrediti njena uloga u razvoju?duhu kapitalizma? u pravoslavnim zemljama. Pri tome se uporedjuju kako politicki-istorijske okolnosti na teritoriji Zapadne odn. Istocne crkve, tako i teolosko-filozofske osnove protestantizma s jedne, i pravoslavlja s druge strane. (shrink)

Much existing economic theory overlooks ethics. Rather than situating the market and values at separate extremes of a continuum, Ethics and the Market contends that the two are necessarily and intimately related. This volume brings together some of the best work in the social economics tradition, with contributions on the social economy, social capital, identity, ethnicity and development, the household, externalities, international finance, capability, and pedagogy. Proceeding from an examination of the moral implications of markets, the (...) book goes on to explore such themes as the institutional arrangements of social economies, individual and household decision-making, and economic development in a global context. Ethics and the Market illuminates the diverse and dynamic theoretical approaches that are employed in social economics, reflecting on their continuously evolving relationship with neoclassical economics. This book will prove vital reading for students and academics in the fields of Economics, Sociology, Gender Studies, and Public Policy. (shrink)

The challenge that confronts corporate decision-makers in connection with global labor conditions is often in identifying the standardsby which they should govern themselves. In an effort to provide greater direction in the face of possible global cultural conflicts, ethicistsThomas Donaldson and Thomas Dunfee draw on social contract theory to develop a method for identifying basic human rights: Integrated Social Contract Theory (ISCT). In this paper, we apply ISCT to the challenge of global labor standards, attempting to identify labor rights that (...) could serve as guides for corporations producing or outsourcing outside of their home country. In addition to identifying areas of universal agreement, we also examine whether ISCT is, in fact, a sufficient basis for determining worker rights; we seek to define the parameters of the “sweatshop” problem; we include the application and results of our ISCT analysis as applied to labor standards: the global labor rights hypernorms; and conclude that ISCT is sufficient only for rights that are universal. We also discuss whether market-driven decisions can identify the boundaries of labor rights, or at least assure that market outcomes are compatible with maintaining labor rights, in order to respond to the shortcomings of ISCT. We conclude with some comments on directions of analysis for labor rights determination. (shrink)

This book explores the making of health care rationing decisions through the analysis of three alternative decision makers: patients paying out of pocket; officials setting limits on treatments and coverage; and physicians at the bedside. Hall develops this analysis along three dimensions: political economics, ethics, and law. The economic dimension addresses the practical feasibility of each method. The ethical dimension discusses the moral aspects of these methods, while the legal dimension traces the most recent developments in jurisprudence and (...) health law. (shrink)

In 1978, 16 months after Mao Zedong’s death, China’s new leader, Deng Xiaoping, introduced market reforms and an “opening” to the West that allowed the US company Hewlett-Packard to enter China in 1981. Shortly thereafter, HP began a partnership with the Chinese company Legend Computer, through which HP transferred its technology in four main areas: product technology, business model, management practices, and strategic planning processes. This technology transfer seems to be a “just exchange” in that HP received access to China’s (...) market while China received key managerial, marketing, and product technologies. Although multinationals are often criticized for their dealings with developing nations, the HP–Legend case provides an illustration of how a company from an industrialized nation can deal justly with a developing nation and assist in advancing its development. The transfer of technology from HP to Legend was facilitated by several factors, including HP’s historical willingness to help startups, its strategic posture, a favorable local environment, Legend’s recognition of its own needs, its willingness to learn from a foreign company, and the incentives to share technology that the Chinese government provided. (shrink)

This book reformulates the central questions of ethics in economic thought. It reconsiders the purpose of economic activity, the ethical values of entrepreneurs, and the Aristotelian dilemma of differentiating between needs and desires to better understand the rise of consumerism. The book also examines cultural factors, the role of religion, and the significance of informal institutions, ultimately showing how less developed countries can increase opportunities for all of their citizens.

What is the appropriate criterion to use for distributive justice? Is it efficiency, need, contribution, entitlement, equality, effort, or ability? Globalization and Economic Ethics maintains that far from being rival principles of distributive justice, efficiency and need satisfaction are, in fact, complementary norms in our emerging knowledge economy. After all, human capital plays the central role in effecting and sustaining long-term efficiency in the Digital Age. This book explores the vital link between human capital formation and allocative efficiency (...) using the properties of the market and the knowledge economy as analytical tools. (shrink)

Present-day economic thinking assumes that individuals always pursue their narrow self-interest or private economic incentives, and hence ignores the influence of ethical motives, such as sympathy and public interest, on human action. This paper focuses on the divergence between economic incentives and ethical motives for action in contemporary life and business. The paper underscores the nature of interrelationships among economics, ethics and business ethics, and highlights the relevance of ancient ethical principles, such as ethics (...) of interdependence and ethics of prudence or self-development, to the development of present-day business ethics. The paper also emphasises the importance of the convergence between economic incentives and ethical motives for action, while stressing the need for a deeper appreciation of business ethics in today's rapidly globalising world. (shrink)

After twenty-five years sustainable development is not a reality. Policies and practices focus on the short-term and economists regard sustainable development as extraneous to their core responsibilities. Science, economics and self- interest have not proven a sufficient ground for sustainable development. Ethics calling for moral reasoning and courageous action, spirit offering transcendence, vision and sustenance, and value asking what is development for are needed. United Nations negotiations have shaped, are shaping, and will continue to shape (...) the meaning and practice of sustainable development. A global citizens‘ movement to build the political will for change is needed. To catalyze sustainable development ethics, religion and spirituality must operate out of a historical context and narrative of a ―Great Transition. ‖ Ethics must enter at the ground level in determining how science, technology, and economics are to be conceived. Religion and spirit must begin with respect for the order of existence. A particular ―Ethics and Spirituality Initiative for Sustainable Development‖ is building a coalition of religious, spiritual and secular values based-organizations to bring ethics and spirituality into the sustainable development process. (shrink)

The average annual profits before fees of the $10 billion plus Renaissance Technologies’ hybrid Medallion “Leveraged, High Frequency, Artificial Intelligence ” trading hedge fund between 1988 and 2019 were about 66 percent. Total trading profits during this period were over $100 billion. The fund has never had a losing year. The fund is not open to the general public. First, distinctions among, in more or less historical order, the traditional market-maker trading model, the hedge fund trading model, the artificial intelligence (...) trading model, and the hybrid LHFAI trading model are discussed. Second, the micro components of the LHFAI trading model are explained in the context of Renaissance Technologies’ Medallion Fund. Third, key positive contributions of the model with respect to profitability, low annual volatility, market liquidity, and intellectual property development; negative ethical issues concerning exclusive access, tax fairness, financial transparency, shared responsibility for losses and systemic risk, and short vs. long-term capital allocation are discussed. Potential reforms that retain the positives, reduce the negatives, and that could positively transform the model are discussed. Fourth, potential impacts that the potential reforms might have on the macro LHFAI form of finance capitalism and the larger finance capitalism political-economic system are considered. Fifth, conclusions are offered and discussed. (shrink)

Literature on ethical behavior has paid little attention to the mechanism between macro-environmental variables and environmental performance. This study aims at constructing a model to examine the relationships which link cultural values, population growth, economic development, and environmental performance by incorporating the mediating role of education. The multiple linear regression model was employed to test the hypotheses on a 3-year-pooled sample of 51 countries. Empirical results conclude that national culture, economic development, and population growth would significantly (...) influence environmental performance directly. In addition, through the mediating effect of education, population growth and national culture would significantly affect environmental performance indirectly. These findings provide theoretical and managerial implications for constructing the mechanism of cultural values and ethical behavior in general and environmental management in particular. (shrink)

This paper considers the revolutionary developments occurring in the field of genetic mapping and the genetic identification of disease propensities. These breakthroughs are discussed relative to the ethical and economic implications for the insurance industry. Individual's privacy rights and rights to employment must be weighed against the insurers desire for better estimates of future loss costs associated with health, life and other insurances. These are in turn related to the fundamental conception of insurance as a financial intermediary versus insurance (...) as a vehicle for social policy. (shrink)

Numerous accounting and economics research studies employ an experimental research method requiring student participants to make representations about an individual characteristic (e.g., ability, cost) that provides a basis for payment of cash rewards. In response, many participants intentionally misrepresent the nature of that characteristic to receive a greater reward. Typically, such studies are deemed to be either exempt from review by institutional review boards (IRBs) or subject only to an expedited review. Moreover, investigators seldom debrief participants, purportedly to avoid contamination (...) of the participant pool. The authors question the ethics of inducing strategic misrepresentation and rewarding fraudulent behavior without appropriate debriefing. A theoretical framework of cognitive ethical development indicates that such research methods can be harmful to student participants. Furthermore, principles of operant conditioning suggest that the rewards reinforce fraudulent behavior. It is recommended that research studies inducing strategic misrepresentation should not be exempt from IRB review and should be required to include desensitization procedures for debriefing participants. (shrink)

Many existing studies postulate that in developing economies philanthropy tends to dominate in the CSR orientation delivered by organizations and expected by local populations. To assess this in the emerging economy of Dubai in the United Arab Emirates, we conducted a preliminary investigation of how locals are responding to the growing number of CSR initiatives that are being implemented in the Emirate. Moreover, given that scholars have argued that Islamic principles of philanthropy should guide CSR initiatives in Muslim countries, we (...) also consider if our Emirati respondents connect CSR with Islamic philanthropy. Results from our survey of 267 local Muslim consumers in Dubai indicate that CSR is not typically equated with philanthropy. In addition, respondents displayed an appreciation of the economic benefits that CSR can generate. The implication is that organizations in Dubai no longer need to base their CSR on the platform of Islamic philanthropy as many scholars have argued. Our findings are significant for the wider Gulf region in that they suggest that in wealthy emerging nations, CSR may not be predominantly interpreted as the corporate philanthropy which is needed in poorer developing economies for the provision of infrastructure, schools, hospitals, and housing, and which in some Muslim contexts is also implemented because of local religious values. (shrink)

Considering the lack of substantive scientific or theoretical studies about ethics in small and medium sized enterprises (SMEs) in Latin America, this paper examines the context of an existent paradox, based upon the perspective of experts and academicians of Latin America and the Caribbean. These countries live different realities, due to their respective European cultural influences, as well as to racial and economic issues. Such facts impact the size and characteristics of their industries. On the other hand, the (...) SMEs face more similarities in the region, so they will be treated as a group in the discussion of ethics and corporate social responsibility (CSR) in Latin American SMEs. As this topic has not been sufficiently investigated in this geographic area, the objective of this exploratory study is to offer a contribution for future research. It raises the main dilemmas and intends to explain how legislation and common practices enable and perhaps lead SMEs to choose unethical strategies to survive and compete in the market. These enterprises are growing in number and in job creation, but do not participate in the Gross National Product in the same proportion. Informality, tax evasion and corruption are gradually caused or erode morality in business, but can contribute to corporate social responsibility in the region. The paper tries to show positive and negative aspects of apparently unethical practices and discusses challenging ways to solve complex problems that are common in most Latin America. (shrink)

Environmental degradation and extractive industry are inextricably linked, and the industry’s adverse impact on air, water, and ground resources has been exacerbated with increased demand for raw materials and their location in some of the more environmentally fragile areas of the world. Historically, companies have managed to control calls for regulation and improved, i.e., more expensive, mining technologies by (a) their importance in economic growth and job creation or (b) through adroit use of their economic power and bargaining (...) leverage against weak national governments, regional and international regulatory bodies. More recently, the industry has had to contend with another set of challenges that involved treatment of indigenous people and their traditional land rights, fair treatment of workers, human rights abuses, and bribery and corruption involving local officials and political leaders. These challenges currently fall outside the traditional areas of regulation and control. Nevertheless, they pose serious threat to the industry’s business practices because of their global scope, threat to company’s reputation, and long-term risks of political instability leading to increasing cost of capital. Industry has responded to these challenges by creating voluntary codes of conduct that would signify their intent to comply with higher standards of conduct, and assuage public opinion that no further action is called for. These codes, however, lack any monitoring mechanism and reporting integrity to assure the public that the industry members are indeed meeting their commitments. Consequently, pressure on the industry continues unabated and with ever increasing calls for mandatory regulation and oversight. This article examines the activities of one mining company, Freeport-McMoRan Copper & Gold, Inc., which has taken a radically different approach in responding to these challenges at its mining operations in West Papua, Indonesia. While cooperating with industry-based efforts of voluntary codes of conduct, Freeport also initiated a radically different response through its own voluntary code that would directly focus on issues of human rights, treatment of indigenous people on whose traditional land its mine was located; economic development and job creation and, improvements in health, education, and housing facilities, to name a few. Additionally, the company earmarked large sums of money and involved representatives of the indigenous people in their management and disbursement. The company took an even more radical action when it committed itself to independent external audits of the company’s compliance with the code, and that these findings and company’s responses would be made public without prior censorship by the company. We analyze the nature of corporate culture, vision and risk-taking propensities of its management that would impel the company to embark on a high risk strategy whose outcomes could not be predicted with any degree of certainty before the fact. The parent company also had to confront discontent among the management ranks at the mine site because of cultural differences and management styles of expatriates and local (Indonesian) managers. Finally, we discuss in some detail the extensive and intensive character of a two phase audit conducted by the outside monitors, their findings, and the process by which they were implemented and reported to general public. We also evaluate the strengths and challenges posed by such audits, their importance to the company’s future, and how such projects might be undertaken by other companies. (shrink)

The name "School of Salamanca" refers to a group of theologians and natural law philosophers who taught in the University of Salamanca, following the inspiration of the great Thomist Francisco de Vitoria. It turns out that the Scholastics were not simply medieval, but began in the 13th century and expanded through the 16th and 17th centuries; and they developed some original theories about economics and international law.Why should a few men mainly interested in theology and ethics apply themselves in (...) analyzing issues so far from their worries? The answer leads us to a revision of the morality rules, due to the new problems in business ethics. Thus, for example, the appearance of inflation made them have doubts about the merchant's morality. In order to solve this and other problems, they began to analyze the new and suspicious economic activity. As a result of their observations about ethical issues they discovered some advanced theories for the history of economic thought, such as the early formulation of the quantity theory of money. (shrink)

The purpose of this article is to examine the relationship between philosophy (considered as an expression of fundamental values) and development, this here particularly understood in its economic sense. The author starts with an exploration of the meaning of development and then goes on to evaluate the views and perspectives that tend to argue against philosophy in its broadest sense (that is considered simply as a worldview or as a system of values) occupying a distinct and significant (...) role in development. In order to demonstrate this important point, the author explores what he considers to be the impact of the traditional African ethical outlook and values in relation to the economic activities and the process of development in contemporary Africa. O objectivo deste artigo é analisar a relação entre a filosofia (considerada como expressão de valores filosóficos fundamentais) e o desenvolvimento, sendo este especialmente entendido no sentido económico. O autor começa por explorar o significado de desenvolvimento e, em seguida, continua com a avaliação das visões e perspectivas que tendem a argumentar contra a filosofia no seu sentido mais alargado (isto é, a filosofia considerada simplesmente como visão do mundo ou como um sistema de valores) que ocupam um papel distinto e significativo no desenvolvimento, sendo esta exploração e avaliação efectuadas no sentido de argumentar que a filosofia tem, de facto, um papel muito distinto e significativo a desempenhar no processo de desenvolvimento, mesmo no sentido económico do termo. Para demonstrar este importante aspecto, o autor explora o que ele considera ser o impacto da perspectiva ética e dos valores tradicionais africanos em relação com as actividades económicas e o processo de desenvolvimento na África contemporânea. (shrink)

The role of Amartya Sen's early work on famine notwithstanding, food security is generally seen as but one capability among many for scholars writing in development ethics. The early literature on the ethics of hunger is summarized to show how Sen's Poverty and Famines was written in response to debates of past decades, and a brief discussion of food security as a capability follows. However, Sen's characterization of smallholder food security also supports the development of agency (...) in both a political and an economic sense. Economic agency is discussed and tied to longstanding literatures on the moral significance of farming within political economy. Finally, while the newly emergent literature on food sovereignty includes many themes, it is shown to be re-articulating arguments that stress smallholder's economic agency as a development goal. This pattern of argument thus provides a way to reconcile at least some of the claims being advanced under the banner of food sovereignty with the human development.. (shrink)

A growing body of academic and business specialists are paying attention to ethical issues in business and economics, drawing on a wide range of different disciplinary and theoretical perspectives. This volume presents important new insights from scholars in economics, philosophy, business ethics and management studies. In addition to providing specific perspectives on particular topics, it presents strategic perspectives on the development of the field. Readers can inform themselves on developments in particular areas, such as social accountability or stakeholder (...) governance; they will also find substantial contributions related to the interfaces of ethics and economics, economics and philosophy, business ethics and political science, and business ethics and management. The collection is a thought-provoking contribution to the development of business and economic ethics as an increasingly important field of academic study. (shrink)

Underdevelopment increases unemployment, which further worsens poverty levels among people in rural communities and inequality in the country at large. At present, government financial institutions are failing to reach rural communities which they are meant to develop. The inability of such communities to access capital from formal financial institutions drives them to devise alternative means through which they can survive and improve their livelihoods. Stokvels are effective self-help economic development strategies in rural South Africa which do not depend (...) on external forces but rely totally on the determination of members of the community to improve their lives themselves. The creation of self-help projects such as stokvels are founded on the principle of ubuntu, which goes beyond the enrichment of the individual. Stokvels constitute an ethical framework that could improve the economic distribution in modern-day society. Adopting indigenous African ways of dealing with African problems could therefore prove an effective tool for helping to alleviate poverty in rural areas. Keywords : South Africa, development, unemployment, rural communities, unmasking, social capital, stokvels, ubuntu. (shrink)

Numerous accounting and economics research studies employ an experimental research method requiring student participants to make representations about an individual characteristic (e.g., ability, cost) that provides a basis for payment of cash rewards. In response, many participants intentionally misrepresent the nature of that characteristic to receive a greater reward. Typically, such studies are deemed to be either exempt from review by institutional review boards (IRBs) or subject only to an expedited review. Moreover, investigators seldom debrief participants, purportedly to avoid contamination (...) of the participant pool. The authors question the ethics of inducing strategic misrepresentation and rewarding fraudulent behavior without appropriate debriefing. A theoretical framework of cognitive ethical development indicates that such research methods can be harmful to student participants. Furthermore, principles of operant conditioning suggest that the rewards reinforce fraudulent behavior. It is recommended that research studies inducing strategic misrepresentation should not be exempt from IRB review and should be required to include desensitization procedures for debriefing participants. (shrink)