Globalisation Flashcards
problem w glob
it can cause the violation of corporate social responsibilities and even undermine the free market itself.
Utilitarianism on globalisation
Utilitarianism would be against the aspects of globalisation which undermine free markets, such as the power it has given business over policy making.
However, Utilitarianins might accept off-shore outsourcing so long as happiness is maximised.
kant on it
Globalisation seems problematic for Kant in that it can cause all of the corporate social responsibilities to be violated.
Offshore outsourcing
where businesses build products in factories in third world countries.
This moves jobs from western countries to those countries which has made many industry workers unemployed.
The issue of monopolies.
If a business gains enough power over a market, they can fix/rig the system, altering way market functions, to reduce/kill competition + benefit themselves.
This is =a monopoly=when business has such dominance/power over a market that market ceases to have competition.
w/out competition, a market no longer creates innovation + economic progress.
Freidman accepted that “It’s always been true that a business is not a friend of a free market”.
Corporations, power, globalisation and monopolies
-money=power+due to glob. businesses can become more powerful than govs=bad as arent accountable to anyone as arent demoncratically elected
-so corps have power to affect laws by financing election campagins of politicans. can make offers+threats to gov to change regulations/laws that wuld favour their business
-EG amazon+New york
-adam smith may have be right that free market comp=good for progress+prosperity of society
BUT a corporation wuld rather not have to compete+can use its profits to buy other companies/affect laws that wuld give it an unfair advantage
-EG: facebook acquiring IG. amazon copying gd products. uber being low cost to out do cab companies +then^ its prices w/out comp
