For example, the way these components are efected are when the principles are to be put into practice. When this happens, money is to be used. Through the stockholders, their money invested can be used, so it would be their money spent. Through customers, the business can higher the price, but then again that would defeat the principle of preventing infation. Or through the employees, the business can lower the wages, and use that money for spending, thus in a way spending the employees money. When Ford had the decision of putting the Pinto on the market they had similar decisions to think about. First let me explain the Pinto situation.
In the 1960 s the domination of the smaller, laighter cars were from the Japanese. Most fo the American cars were huge and clunky. The Americans wanted to get into this market, so Ford designed the Pinto . The only problem was time for their business, so they developed it so quickly to be pu ton the market that the car did not go through all of the valuable redesinging practices and safety procedures. Ford ended up selling a car that was 8/11 times liable to blow up when in a crash with even stationary objects. The main problem was the gas tanks position. Ford did not want to recall them for the $11 change, for it would be too expansive. The main reason the lead them to keep it on the market was through their cost-benefit analysis. This is where Friedman would agree. The price of fixing the car woudl be much greater then having to pay the bills of those who actually would be hurt or killed because of their car. Here, as Friedman would state, they are thinking in terms of profit of the business so it is all right to allow this situation. As for the former PS27 student, life is precious and invaluable, therefore Fods decision is not justifiable. But then again one can see that the world of profit making can only see their problem through money. I can agree with Friedman in two aspects.
First, if the people knew that cars like the Pinto can be hazerdous, there is information to be obtainaed where the safety analysis is kept. For example,, the customers could locate the National Highway Traffic Safety Administration reports on the testing of Ford through the proposed Federal Motor Vehicla Standard #301. This states that a car going 20 mph should be able to withstand a fixed barrier crash with out any loss of feul. Eight out of elevan cars passed, and even those cars were altered. This typeof information can be obtained. The second is that business is business. Business want to make money and the only way they know how to make decisions upon this is through economics, therefor the use of the cost-benefit anakysis is justifiable. But then again, I disagree with the views of putting the Ford Pinto on the market. I think that there should have been other options added to the selling of the car. For example, it would not cost the company that must to tell of it s 310 reports and ask the customer if they would like to add $11 to save their lives. Iam sure that they think that their life is worth more than $11, so that would be all right. The only problem with this is that once the public knows of the test results there would be no sells at all. A solution to this is that they could jsut raise the price $11 and not tell why, and that way lives could be saved. I am sure taht could be more likely. Through this case, I am sur ethat Friedman would agree with the cose-benefit analysis because it is related to the social responsibility of business is to gain profits . But as I and the former student would agree, there is not price on a persons life, therefore the releasing of the Pinto withouth adding $11 is ludicrious.. Even though I do not like how businesss sometimes are run, I still feel that there is a need for them in order for society to have as many benefits as possible.
To conclude, I believe that there is a strong use of ethics in politics and business for they are both reflections of society. Without having this to be true, you can either say that these institutions are not entities of society , that they can act solely upon their own interests. As we all well know, this is not true, for it is true that society forms these institutions and constantly intermingles with them. When either in the public or private sector of life, ethics has been, is, and always will be used, otherwise we will no longer be able to form compromises when achieving a common entity, that is, in our case, a democratic-republican way of society. The formation of our society would completely diminish, leaving us to a life of the survival of the fittest .