Low wages in overseas factories

Is it ethical for Western companies to pay low wages when they move their factories to developing nations?

Contributed by DL (high school student)

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Paying tax on PayPal

I was going to pay a person through PayPal and asked what the total was with tax. I was told there was no tax if paying through PayPal. I asked, aren’t you required to charge tax? They said, if I was paying cash, the taxes were included. While I suspect they are doing this to avoid paying income tax on it, I have no way of actually knowing whether or not they will. So is it ethical for me to pay the non-tax price for this product?

Contributed by Pliant

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Money found in attic

Several news sources reported this story in May 2011.  Josh Ferrin had just bought a house when he found $45,000 in small bills, squirreled away in the attic of the garage.  The previous owner Arnold Bangerter had died a few months earlier, and the house was sold by his children.  Ferrin was ecstatic over his find until his wife said they should return the money to its “rightful owners.”  He agreed and gave the money to Bangerter’s heirs, who said that their father sometimes hid part of his savings in the house.  Ferrin didn’t feel right keeping the money even if he were legally entitled to it.  What exactly was Ferrin’s ethical obligation?

Contributed by John Hooker

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Obamacare: buy insurance or pay penalty?

The Affordable Care Act (Obamacare) requires me to have health insurance, or else pay a penalty.  The penalty is $95 or 1% of income (whichever is greater) in 2014, $325 or 2% of income in 2015, and $695 or 2.5% of income thereafter.

Is it ethical for me to pay the penalty, rather than buy insurance, if I think this will save me money?

Contributed by anonymous.

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Sell assault weapons?

Is it ethical to manufacture and sell assault weapons to civilians?

Contributed by an ethics instructor.

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Welcome

photoqatarHi.  I’m John Hooker, an emeritus professor of business ethics at Carnegie Mellon University.  I created this blog to provide a forum for analyzing ethical dilemmas in a rational way.

I analyze each dilemma, based on the principles described under How to analyze.  You may need to look at these to understand what I am talking about.  You can also contribute to the discussion.

  • Recently posted dilemmas appear below.  To view all the dilemmas by category, click the topics on the left.
  • To contribute your dilemma, write it as a comment on this post.  I will convert it to a separate post so it can be categorized.
  • To help with someone else’s dilemma, reply to it.
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Using study drugs

An ethical dilemma that I’ve experienced ever since I’ve entered college was the use of amphetamines such as Adderall and Vyvanse, in order to study longer and get better grades. Through middle school and high school, I studied for hours to earn straight A’s and get into a private university. After struggling my freshman year in college, I didn’t know what I was doing wrong. I changed my study habits, joined study groups, and obtained tutoring, but I could never do as well as other students. I knew my peers used “study drugs” to stay up longer and remain focused, but I never wanted to stoop so low. It’s extremely frustrating to study for days before the exam and then receive a B, when other kids cram the night before using amphetamines and get an A. It’s distressing when I apply to jobs but hear nothing, while students who use drugs get offers from Goldman Sachs and Deloitte. I have morals that my parents taught me, but it is really hard to stick to them when I don’t benefit from doing “the right thing.”

Contributed by Anonymous.

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Obligation to play varsity sports?

An ethical dilemma that I have faced is whether to continue playing my current varsity sport that helped me get into the school, or quit and focus on school and social life.

Contributed by Anonymous.

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Damaged rental skis

While staying at a resort, my friends and I rented jet skis.  I  crashed my ski into my friend’s while attempting to spray water on to him.  We inspected the skis and found a significant scratch on mine.  When we returned the skis, the lender did not seem to notice the damage.  I faced an ethical dilemma as to whether to mention the damage, which would oblige us to pay for it.  I chose to say nothing.

Contributed by Anonymous.

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Coworker involved in thefts

My prospects for finding a summer job were dim until my friend John helped get me a job with his retail employer, Dollar General.  It was my first job, and it took me some time to learn the skills.  John supported me despite my numerous mistakes during the first few weeks.

Dollar General faced a continuing challenge with theft.  We would stock products only to find some shelves empty the following day.  Upper management was pressuring us to stop the pilfering but refused to supply resources for extra staff, surveillance cameras and the like.  We tried several strategies without success, including the assignment of employees to different areas of the store during the day.  Finally, one day we caught a thief in the act of leaving the store with a duffel bag full of merchandise.  By this time I had been promoted to assistant manager (on John’s recommendation), and it was my job to inspect the bag.  I found inside it a document, prepared by John, that detailed when certain areas of the store would be unsupervised.

Only I knew of John’s involvement.  I was almost in denial, because I had known him for many years and thought I was an accurate judge of his character.  Initially, I felt obligated to protect him.  However, after some thought, I reported him to the store manager, who undertook the necessary course of action.

Contributed by Anonymous.

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