¶ … ethical implications of a business polluting a third world country are fairly straightforward -- at first. Businesses are able to do such things in third world countries because of a number of factors that are intrinsically related to the innate poverty that exists in these nations. As such, it appears as though businesses are forsaking the health concerns of local inhabitants in order to maximize their profits and increase their commerce and productivity.
Doing so, of course, from a perspective that completely disregards basic humanitarian concern for citizens who have to live in polluted areas -- who breathe contaminated air, drink and bathe with contaminated water, and eat food raised from contaminated land and water sources -- is ethically irresponsible. This line of thinking presents a skewed cost-benefit analysis in which the ultimate costs of such an action are not the monetary ones a business must pay to dump or produce toxic activity in such a location, but the reduction in the quality of life for local inhabitants.
However, the benefits from such a cost-benefit analysis are applied to both a particular company polluting a third world nation and those local inhabitants themselves. The mere presence of such a country and the labor it will provide in such a region facilitates much needed economic growth and job for destitute people who rarely have an alternative to achieving means of financial sustainability. In this respect, companies can consider their actions ethically acceptable since they are aiding in the monetary concerns of a city, a state, or even of an entire nation.
The ultimate, benefit, of course, is for the company itself, which is able to employ cheap labor which allows it increase its productivity, and to pollute some area far from its principle base of operations. From a strictly monetary ethical perspective, then, such an action is acceptable for the company.
The primary reason that a company would want to conduct business in a third world country while disregarding pollution control standards is for the monetary advantages it would incur. There are a number of financial boons that such a company would reap, and which would inevitably adversely affect the host country as a result, especially when one considers the logic of Lawrence Summers who believes "the costs of health-impairing pollution depend on the earnings forgone from increased injury and death" (Lawrence, 2008, p. 291). The areas in which the "earnings foregone" are minimized, of course, are in third world countries in which the cost of lives, and of workers who have those lives, is inordinately lower than in more developed areas. Therefore, regardless of how much pollution is involved in a company's actions, from a monetary standpoint it will still be economically beneficial to conduct such activities in a third world country.
Other cost factors include the solid business sense it makes in conducting polluting activities in places in which there is low pollution, and not in those in which there is high pollution. The costs of conducting such activities in regions in which there is already high rates of pollution is considerably higher than doing so in areas in which the rate of pollution is lower. Doing so would inevitably lower the costs of operation for a company, which is seeking to do so in order to maximize its profits. From an economic perspective, then, it does not make sense for businesses to continue to operate pollution causing activities in areas that already have high contamination rates. Another reason why a company's costs decrease while operating pollution causing activities in the third world is because people in those places value environmental concerns less than they do monetary ones, and are willing to work for less money while polluting the environment more in order to eat.
The relationship between economic progress and pollution has been debated for a number of years. The perceived nature of that relationship, which was once simply defined by the fact that in order to progress economically the natural environment would inherently have to suffer as a result, has changed during contemporary times. In this conventional notion of the relationship between economic progress and development, it is the poor who inevitably pay the price by living in polluted environments that are extremely noxious to their bodies while governmental and corporate entities reap the benefits. This line of thinking follows the notion that there is a tradeoff between monetary gains and environmental health.
However, more recent philosophy on this subject matter claims that environmental and economic progress interests are actually the same, at least on a long-term basis, since environmental deterioration will inevitably affect economic progress eventually and poor people do not have sufficient funding to invest in a healthy environment. Therefore, increasing the health of one's environment actually assists in the...
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