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Sample Of Ethical Model

Business Ethics Decision Making using Kidder' Ethics Check Points Identification of the relevant facts

Identification of the moral issue 2

Potential for harm

Determination of the moral agents

The "trilemma" options

Test for right-versus-wrong issues

Application of resolution principles

The Decision

Reflection of the decision

Identification of the relevant facts

In this case examination, we consider the case of the bailout of General Motors by the U.S. government in 2014. This is based on a report published by news agency Reuters on April 30, 2014, titled "U.S. government says it lost $11.2 billion on GM bailout." It is revealed in the news report that U.S. government lost $11.2 billion when it bailed out General Motors Co through its selling of the government shares in GM in December the earlier year. More than $50 billion was used to bail out GM from the brink of the company's 2009 bankruptcy ("U.S. government says it lost $11.2 billion on GM bailout," 2016). The government used public money for the bailout of a private company.

Identification of the moral issue

The moral issue, in this case, is that the U.S. government not only lost money but the money it lost belonged to the taxpayers of the country. The government used money that it had collected from the taxpayers with the known promise of spending it in a manner that benefits the people from which it was collected. However, the government instead used the money to provide relief to a private company and thus it can be concluded that the spending of the public money did not serve any greater...

This is also a case of inappropriate resource allocation by the government where the government utilized money that was meant to be spent for public development for the betterment of a private individual. This is also a fit case to allege that the U.S. government in this case reflected a clear lack of concern for its social responsibility and the common good.
Determination of the moral agents

In this case it is very clear that the government as whole and individuals who took the decision to bail out the private company with public money are the agents of the moral issue.

The "trilemma" options

There was a third way. Instead of the government spending public money directly for the bail out it could have used other methods like taxation relief or other softer means to try and help out the company from the near bankruptcy position it was. The government could also have taken steps to arrange for private investment in the company.

Test for right-versus-wrong issues

The legal test - the step by the government is absolutely legal and it was within its legal right to have bailed out General Motors Co.

The intuition test -- however, this action of the government is not uncommon and had been done on earlier occasions. But this goes against the moral principles of rightful use of public money.

The publicity test -- as an individual paying tax to the government one would feel cheated and deceived after one came to…

Sources used in this document:
References

Liszka, J. (1999). Moral competence. Upper Saddle River, NJ: Prentice Hall.

Shafer-Landau, R. (2007). Ethical theory. Malden, MA: Blackwell Pub.

U.S. government says it lost $11.2 billion on GM bailout. (2016). Reuters. Retrieved 15 May 2016, from http://www.reuters.com/article/us-autos-gm-treasury-idUSBREA3T0MR20140430

West, H. (2006). The Blackwell guide to Mill's Utilitarianism. Malden, MA: Blackwell Pub.
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