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Symposium 2014

How to bring Morality into Markets

The Challenge

Market situations facilitate decisions by individuals that are morally questionable and which can lead to undesirable social and environmental outcomes. This has been shown by literature in economics, ethics, and sociology. Suggested reasons range from the anonymity of the market to the perception of reduced pivotality and the crowding out of moral motivations by monetary incentives. Currently morality in markets is primarily addressed through regulation. Regulation is however costly, especially when it works contrary to market rules and thus provokes rule-bending and breaking. Attempts at developing and implementing paternalistic policies based on so-called nudges currently remain limited in scope. The type of regulatory mechanisms that are favored by many economists aim at putting a price tag at social and environmental externalities, thus using the same market forces that provoke them.

After experiencing difficulties and failures with such theoretically first-best mechanisms, it is time to question this approach with insights from various academic disciplines and lessons learnt from practical experiences. Is there a better way of building morality into the fabric of markets at least to some extent? Can this be done by reducing anonymity and shared responsibility of market participants? To what extent can this idea be implemented making use of big data? Can strong moral or religious education complement market rules without bringing back the constraining side effects experienced in the past? Alternatively should the market sphere be restricted to morally “safe” transactions? And who should take the lead in this process?

    Proposals

    Proposal
    Symposium 2014

    Neutralizing Tax-Havens and Secret Bank Accounts

    Nations and Institutions providing this facility are the single biggest instigator of global corruption, providing a cover for ill-gotten wealth and perpetuating market distortions. It is necessary to ...

    Nations and Institutions providing this facility are the single biggest instigator of global corruption, providing a cover for ill-gotten wealth and perpetuating market distortions. It is necessary to effectively immobilize them. One often wonders why so many energy producing nations and resource-rich countries remain poor. Is it because the corrupt in any country can easily deposit their ill-gotten wealth in tax-havens? Why is it that procurement prices are often inflated, to fill the pockets of decision-makers in the countries that buy those products? The poor tax-payers in these countries have to bear the additional burden. Several developed and civilized countries

    Proposal
    Symposium 2014

    How to bring Morality into Markets

    On the subject of “Religion, Peace and Conflict in the 21st Century” Nothing speaks lauder at the beginning of the 21s Century then the failure of European and World community, including United Na ...

    On the subject of “Religion, Peace and Conflict in the 21st Century” Nothing speaks lauder at the beginning of the 21s Century then the failure of European and World community, including United Nations Security Council to uphold the promise of "NEVER AGAIN”, never again in Europe. Responsibility to remember greatest failures of humankind and to educate and embolden a new generation of leaders to never repeat them. Indeed, at this time of rising intercultural and inter religious tensions in different parts of the world, it is of utmost importance that we share positive political and religious message on the significance

    Proposal
    Symposium 2014

    Making markets more just by promoting the “right” amount of inequality

    Encourage private and public policies that increase the fairness and efficiency of markets by promoting the “right” amount of inequality, which means reducing inequality in some cases but also inc ...

    Encourage private and public policies that increase the fairness and efficiency of markets by promoting the “right” amount of inequality, which means reducing inequality in some cases but also increasing it in others. Interest in economic inequality has risen sharply in recent years among large numbers of people, including academics, politicians and the general public. The massive attention directed at Thomas Piketty’s book, Capital in the Twenty-first Century, is but one example. This interest is prompted by evidence of rising inequality within countries as well as, according to many accounts, internationally. Much of the concern expressed over rising inequality associates

    Virtual Library

    Virtual Library File
    Symposium 2014

    What’s the Good of the Market? An Essay on Michael Sandel’s What Money Can’t Buy

    Timothy Besley discusses Michael Sandel’s book “What money can’t buy” bringing forward the positive sides of the market. While Sandel’s mission is to question whether the use of markets to a ...

    Timothy Besley discusses Michael Sandel’s book “What money can’t buy” bringing forward the positive sides of the market. While Sandel’s mission is to question whether the use of markets to allocate some goods is just, Besley argues that economists have long worked on market designs that take Sandel’s moral arguments into account. In addition, he discusses known alternatives to markets that create new moral questions.

    Virtual Library File
    Symposium 2014

    Morals and Markets

    Falk and Szech use an experiment in which participants can save or kill mice to prove that market interaction erodes moral values. In the experiment, subjects decide between either saving the life of ...

    Falk and Szech use an experiment in which participants can save or kill mice to prove that market interaction erodes moral values. In the experiment, subjects decide between either saving the life of a mouse or receiving money. In both bilateral and multilateral markets, the willingness to kill the mouse is substantially higher than in individual (non-market) decisions. Even more, in the more anonymous multilateral market, prices for the life of mice are lower than in the bilateral market.

    Virtual Library File
    Symposium 2014

    The Money-Empathy Gap

    This article discusses what the work of Paul Piff and others means for society and the American dream. Piff and his colleagues show that the rich are way more likely than the poor to prioritize their ...

    This article discusses what the work of Paul Piff and others means for society and the American dream. Piff and his colleagues show that the rich are way more likely than the poor to prioritize their own self-interests above the interests of other people. They are also more likely to cheat. In a Monopoly experiment, even when they clearly acquired their richness immorally, they believe that they deserved it.

    Virtual Library File
    Symposium 2014

    The Psychological Consequences of Money Science

    This article argues that money changes people’s behavior toward being more self-oriented and alone. It provides experimental evidence that reminders of money lead to reduced requests for help and re ...

    This article argues that money changes people’s behavior toward being more self-oriented and alone. It provides experimental evidence that reminders of money lead to reduced requests for help and reduced helpfulness toward others.

    Virtual Library File
    Symposium 2014

    Without morality the market economy will destroy itself

    This article argues that moral awareness, coupled with an end to monopolies, is crucial for our future economic wellbeing. The market has an inbuilt tendency to erode competition that is damaging. Reg ...

    This article argues that moral awareness, coupled with an end to monopolies, is crucial for our future economic wellbeing. The market has an inbuilt tendency to erode competition that is damaging. Regulation may be part of a solution, but it risks giving too much power to the state. Hence, the market is a great institution provided there is enough moral awareness among the players to prevent the accumulation of overweening monopoly power.