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Business
and Ethics Conference
May19-20,
2006
Presented by the Center for Business, Government, and Society
Organizer: David
Austen-Smith
Conference
Schedule
Friday,
May 19, 2006 |
| Time |
Presenter |
Title |
| 12:30-1:30pm |
Lunch
(Allen Center) |
| 1:50-2:00pm |
Introductory
remarks |
| 2:00-3:30pm |
Adam
Galinsky |
The
Interplay of Power and Culture: Implications for Organizations
and Ethics |
| 3:30-4:00pm |
Break |
| 4:00-5:30pm |
Benoit
Monin |
Protecting
the Halo: The Importance of Maintaining a Moral Self-Image |
Conference
Topics and Presenters |
| Presenter |
Title |
| Robert
Frank |
Why
Is Consequentialist Moral Reasoning So Controversial? |
Consequentialist
moral theories identify the morally correct choice as
the one that results in the best overall consequences.
Despite this criterion' s sensible ring, it remains
deeply controversial. Many critics object in principle,
arguing that a choice may be immoral even though it
leads to the best consequences on balance.
Here, I explore an alternative possibility, that although
consequentialist theories in their simplest form might
be attractive in principle, they might also suffer from
serious implementation problems.
The
difficulty stems from the fact that consequentialist
moral reasoning requires estimates of the costs and
benefits of the relevant alternatives. These estimates
almost invariably involve considerable uncertainty,
with the result that a broad range of values must be
viewed as reasonable. Evidence suggests that even
people who are committed to doing the right thing have
a natural tendency to exploit moral wriggle room, by
employing estimates that favor their own interests.
There is a natural tendency, in other words, to estimate
the personal benefits of an action at the high end of
the reasonable range and to estimate the costs to others
of the action at the low end of the reasonable range.
Social comparisons reinforce these biases, creating
a dynamic that extends the range of estimates that neutral
observers can defend as reasonable.
The
problem, in short, is that consequentialist moral reasoning
may fail not because it is wrong in principle, but rather
because of an inherent conflict of interest facing those
who must estimate the relevant costs and benefits.
As a practical matter, consequentialism may not lead
to the best results on balance. |
| Maurice
Schweitzer |
Promises
and Lies: Restoring Violated Trust |
| Trust
is critical for effective negotiations, yet trust violations
are common. Prior work has often assumed trust to be fragile—easily
broken and difficult to repair. We investigate this proposition
in a laboratory study and find that trust harmed by untrustworthy
behavior can be effectively restored when individuals
observe a consistent series of trustworthy actions. Trust
harmed by the same untrustworthy actions and deception,
however, never fully recovers—even when deceived
participants receive a promise, an apology, and observe
a consistent series of trustworthy actions. We also find
that a promise to change behavior can significantly speed
the trust recovery process, but prior deception harms
the effectiveness of a promise in accelerating trust recovery. |
Ray
Fisman
Geoffrey Heal
Vinay Nair |
Doing
well by doing good? |
| We
try to develop and test econometrically an analytical
framework for studying corporate social responsibility.
We want to know why firms engage in CSR, what types of
firms engage in CSR, and how it affects their competitive
positions. |
| Benoit
Monin |
Protecting
the Halo: The Importance of Maintaining a Moral Self-Image |
| An
often overlooked and important factor in moral behavior
and judgment is one's moral self-image. Business actors
may often be less influenced in their ethical behavior
by lofty abstract reasoning akin to what is observed in
classic moral dilemmas than by how they feel about their
own morality at a given point in time. I will illustrate
this possibility in the context of everyday moral issues,
such as racial discrimination, and present experimental
evidence suggesting that making people confident that
they are a good people may paradoxically license them
to do more problematic things than they would otherwise
have (moral credentials). I will also show that
the exemplary behavior of moral others, rather than be
inspiring, can lead to resentment when it threatens one'
s own moral self-image (moral rebels and do-gooder
derogation). Based on this research, I will discuss
how organizations might contribute to ethical business
behavior, and how leaders might be able to serve as moral
exemplars without eliciting backlash. |
| Adam
Galinsky |
The
Interplay of Power and Culture: Implications for Organizations
and Ethics |
This
talk will explore how power and culture combine to drive
goal directed behavior and affect how others are treated
and viewed. Power increases goal directed behavior and
attention. As a result the powerful take action and engage
in assertive behaviors. The possession of power also alters
the way that individuals think about others in two fundamental
ways. First, power decreases the tendency to consider
the goals and perspectives of others. Second, those in
power tend to objectify others (to think about others
in instrumental terms, as conduits and facilitators of
goal completion). Power also makes people more like their
personalities and their culture. As a result, culture
appears to be a critical moderating variable in determining
whether power leads to action and egocentric self focus
vs. when it results in restraint and perspective-taking.
In more interdependent cultures (e.g., East Asian), where
relationships matter over independent achievement, power
produces a sense of responsibility and other-regarding
behavior and increases commitment to a Kantian Deontological
as opposed to a Utilitarian approach to ethical reasoning.
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| Uri
Gneezy |
Deception:
The Role of Consequences |
| This
paper studies the role of consequences in a person's decision
to lie. The empirical findings are based on the results
of an experiment with a deception game as well as questionnaire
responses. The results provide direct evidence that lying
is in itself costly, and it demonstrates that the likelihood
of lying is increasing in one's potential gain, and decreasing
in another's potential loss. This finding is inconsistent
with the standard view that people only care about their
own material payoffs, and with the view that telling the
truth is a moral imperative. Rather, the decision to lie
is a matter of weighing costs and benefits. |
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