What are the main goals of the product liability system? Which of the goals is non negotiable?
Compensation and deterrence (punishment), compensation is non negotiable
According to Tullberg, which goal of the product liability system should we focus upon?
Compensation
What is Tullberg's notion of narrow responsibility?
We should limit awards and give minimal amounts of money (conservative amounts of compensation) just enough to get them back into the market
According the Anderson (modic) how can both goals of the product liability system be achieved?
You can't kill two birds with one stone, we need two systems with one goal for compensation and one for deterrence
According to Anderson (Modic), what should we replace the tort law system of product liability with?
Tort law is civil law, replace it with criminal law, deter with criminal law (so we do not overcompensate victims, and big companies can be deterred more)
Is it true that Savan's claim that advertisements always involve some kind of lie is an example of her use of deontological moral ideas?
Yes
Is it true that Savan argues that advertising makes people worse off by inducing them to spend more money than they can afford?
False, Savan does not make this claim, but she could as a utilitarian argument
Is it true that a virtue theory approach to advertising would be likely to focus less on moral harm done by individual ads, and more on the cumulative effect of ads as part of out culture?
True according to Savan
Savan. 's observation that advertising involves lies most clearly shows her using which moral theory?
Deontology
What is the utilitarian critique of advertising?
People are worse off, ads reinforce the utilitarian psychology in interest of the market, idea that the only way to increase our pleasure isn't through desire satisfaction. This isn't how to maximize utility. They teach us to buy stuff instead of maximizi
What is the deontological critique of advertising
Ads lie, lying is wrong (simple critique). Complex critique- they work on our desire and work against autonomy and cause us to act heteronomously, robbing us of our human dignity. Being obedient to your desires
What is the virtue critique of advertising?
It corrodes character. It shapes our culture, it promotes vices of conformism and self-deception
What is at- will employment
working at will, voluntary exchange/contract, not required to give 2 weeks notice, moment by moment
What is downsizing
Firing employees for the purpose of increasing profits, the telos is to increase profits
What is shareholder primacy?
The primary obligation is to the shareholder not the employees
According to Orlando, is it true that employees are worthy for moral consideration in cases of downsizing?
TRUE
What is Orlando's argument have no distinctive risk?
The shareholders just lose capital but the employees have in a way invested more in the company (educated for the job, moved to the town, house, and capital)
Is it true, according to Orlando that employees are harmed more in downsizing than shareholders are by corporate inefficiency?
TRUE
When, according to Orlando, is downsizing morally acceptable?
Corporate life or death (ex: limb amputation to save a life= downsizing for a corporation)
Be familiar with the notion of corporate social responsibility (CSR). What position does Friedman argue in favor of?
Corporate social responsibility is taking into account all of the impacted parties including the environment. Friedman says no CSR, the only CSR is to increase profits
Friedman argues that corporate managers do not have the expertise to implement effective CSR programs. Which moral theory best supports this argument?
Utilitarian (so they don't screw up society. Expertise is about consequences (think expertise= utilitarianism, promise= duty)
Friedman argues that corporate managers do not have the right to implement CSR programs without an explicit note by shareholders. Which moral theory best supports this argument?
Deontology
Is it true that Friedman's claim that corporate managers lack the knowledge to make effective decisions on how to be "socially responsible" fits in with utilitarian reasoning?
true (because it is about consequences)
What is Stone's rebuttal to the promissory argument against CSR?
There is no promise to shareholders, and even if there is promise, we may have higher duties than keeping that promise
What is Stone's rebuttal to the agency argument against CSR?
False premise, the managers aren't agents and Friedman is assuming that they are agents. Even if they are agents, that doesn't mean we have to keep the duty to fulfill the promise if there are higher superceding duties.
What is Stone's rebuttal to the role argument against CSR?
Higher role obligations superceding lower role obligations in context of our role based obligations, we need to figure out how to balance them
What is Stone's rebuttal to the polestar argument (it is better if business and government aren't mixed, so you can focus on the lone star/polestar) against CSR?
Doesn't reject argument, he starts a new one. We need a different view on corporations with less emphasis on shareholders and profits.
Of the four arguments against CSR Stone considers, which makes use of utilitarian reasoning?
Polestar argument because it is better for society
Stone's rebuttals and matching theories
deontology: promissory and agency, role based
Utilitarian: pole star
Is it true that shareholder primacy is the thesis that corporate managers have a responsibility to put the interests of shareholders ahead of the interests of all other stakeholders?
TRUE
Is it true that Stone argues that corporate managers should be socially responsible because that is the virtuous thing to do?
False, he doesn't bring in virtue at all
Is it true that Stone's version of the argument that corporate managers have made a promise to maximize profits for shareholders emphasizes the utilitarian character of that view?
False, it emphasizes the deontological view
Tullberg
narrow responsibility, we should focus on compensation to get people back into the market, conservative compensation
Anderson (one he is interviewing)/ Modic (wrote the article)
there should be 2 separate systems, one for compensation and one for deterrence (punishment)
Savan
talks about advertisements:
utilitarians: trying to fulfill your desires with only the market which will bring down utility
Deontology: it is your duty not to lie, not autonomous
Virtue Ethics: corrodes character, and forms culture and causes you to have
Friedman
Against CSR, the only CSR is to maximize profits
Stone
rebuttal to Friedman's arguments, more for CSR, 4 arguments
- promissory : no promise, even if there is you may have higher duties
- role based: obligations to your role (your duties as a shareholder/employee/manager)
- agency: we aren't agents and Friedm
Orlando
shareholder primacy: downsizing needs to take employees into consideration
- only exception is life or death