Question 1: Read 'Exploring gas tanks' (Page 43-44 of "Justice) and
explain your thought on the Ford Corporation's cost-benefit basis decision
making. Do you agree with the decision-making? Why or why not? First of all, I would say that I do not agree with the decision-making of Ford Pinto because it is not ethical. This is because the use of cost-benefit analysis are determining if the flaw in Ford Pinto automobiles is worth the financial risk in comparison to the value of human life is unconscionable and indefensible. In additional, the because of the cost-benefit analysis Ford made a costly decision not only in terms of money but also human life which are mainly on pain and suffering of victims and their families and also to the own reputation. This statement prepared by Ford was not cost-efficient to add an $11 per car cost in order to correct the flaws. The benefits derived from spending this amount of money were estimated to be $49.5 million. This estimate assumed that each death which could be avoided would be worth $200,000 and each major burn injury that could be avoided would be worth $67,000. When the unit cost was spread out over the number of cars and light trucks which would affected by the design change at cost of $11 per vehicle, the cost was calculated to be $137.5 million which are much greater than the $49.5 million benefit. This Ford Motor Companys choices made during development to compromises safety for efficiency and profit maximization. If Ford had the right business ethical and moral integrity to put consumer safety first, instead of profit and competition, then there would have been no loss of life or financial suffering. Question 2: Read the story of Hurricane Charley in 1. DOING THE RIGHT THING' (Page3-10 of "Justice"). Which of Thomas Sowell or Charlie Crist do you agree with? Why? Personally, I agree with Charlie Crist. Price gouging when people getting in trouble is not acceptable. Even though there are some economists argued that: In medieval times, philosophers and theologians believed that the exchange of goods should be governed by a "just price," determined by tradition or the intrinsic value of things. But in market societies, the economists observed, prices are set by supply and demand. There is no such thing as a "just price." It is still not acceptable. And as Charlie Crist said: This is not the normal free market situation where willing buyers freely elect to enter into the marketplace and meet willing sellers, where a price is agreed upon based on supply and demand. In an emergency, buyers under duress have no freedom. Their purchases of necessities like safe lodging are forced. First, markets promote the welfare of society as a whole by providing incentives for people to work hard supplying the goods that other people want. Second, markets respect individual freedom; rather than impose a certain value on goods and services, markets let people choose for themselves what value to place on the things they exchange. Greed is a vice, a bad way of human being. In times of trouble, a good society pulls together rather than press for maximum advantage. We can take Japan in 2011 as a good example in this situation. Most of supermarket sharply decreased the prices, the owner of vending machine opened their vending
machines and free distribution of drinking water for relief workers, emergency workers and lovers willingness to participate in disaster aid. In my point of view, the important thing is: It is not about price, it is about the ethical.
Question 5: In the tsunami disaster on March 11th 2011 in Japan, there
found not a few number of dedicating and co-operating actions and leadership, which was admired by global societies. What are specifically admired may be summarized by some words describing the disaster sites and situations, such as, no-riot, no-community-wide-panic, active cooperation within community, etc. a. Why have global societies admired the actions of the people at disaster sites? In my point of view, there are many reasons that make global societies admired Japanese people such as: Ethical, feature of Japanese society, skill and spirit of Japanese people, behavior of Japanese people in disaster, etc. b. What has made those actions of people admired by global societies possible? A day after getting trouble in a serious situation, there are many long line of people queuing to get food and drinks. After the horrific disaster may have taken away relatives or homes, their money, they would be insecure, tired and hungry as common sense. But in the line of people queuing quietly that, absolutely not seen a word grumbling, no one intends to insert rows and solicit additional rations were found, each patiently waiting his or her turn and take only part of food and drinking water. In severe shortages of food and water, all of stores also have no intention of profiteering. They do not increase the price. In damaged stores, goods shed sprawling but absolutely no foul thief, on the contrary, many customers helped rearrange the furniture, and put money when purchase something at the counter which does not have any one. Some vending machine, all of drinks are free. People help each other to coexist c. Imagine and describe ethical thoughts underlying those actions of people.
Embedding Neoliberalism: The Evolution of A Hegemonic Paradigm (By Philip Cerny, From The Journal of International Trade and Diplomacy 2 (1), Spring 2008: 1-46)