QOD #6: Self-Interest “Self-interest is selfish, greedy and not in the best interest of our market economy.”selfishgreedy not best interest market economy ▫Do you agree or disagree with this statement? ▫Give specific examples to support your opinion.specific support After watching the “Greed is Good” speech, is there a difference between greed and self-interest?
Greed (1999) The Pervasiveness of Human Greed ▫Segment 1a (Part 1 of 6)Segment 1 ▫Segment 1b (Part 2 of 6) Greed and Civilization ▫Segment 2a (Part 3 of 6)Segment 2 ▫Segment 2b (Part 4 of 6)Segment 2 Greed and the Economic Pie ▫Segment 3a (Part 5 of 6)Segment 3 ▫Segment 3b (Part 6 of 6)Segment 3
The pervasiveness of Human Greed 1.What market activities were presented in the segment? 2.If greed in some measure seems to be a rather universal human characteristic, is it possible to channel it or direct it to achieve good results or socially acceptable/desirable ends? Explain. 3.It’s an August afternoon and 85˚ outside. You leave the tennis court, walk past the drinking fountain and spend a dollar on a soft drink. Is this a market transaction? Would it be fair to describe it as voluntary? Who wins in the exchange? 4.Should the government have prevented Thomas Edison from selling the electric light bulb because it unfairly put the candle makers out of business?
Greed and Civilization 1.Why does competition inspire people to pursue excellence? 2.The poet John Donne said, “No man is an island, entire of itself; every man is a piece of the continent, a part of the main…” Remembering Stossel’s steak dinner, explain what would happen to your standard of living if you were to live a completely self-sufficient life style. What would you spend most of your time doing? What products that you now own could you create yourself? 3.Why do so many people believe societal problems are caused by greed? 4.The “junk bond king” Michael Milken, went to jail in the 1980s. How was Milken a great social benefactor? 5.How does the economic logic of the money bowl and common ownership help explain why certain species are threatened with extinction?
Greed and the Economic Pie 1.What is it that T.J. Rodgers and other CEOs like Michael Eisner or Jack Welch at General Electric do to earn their pay? 2.As a student working a part-time job, do you deserve your minimum-wage pay level? 3.Would it ever be logical—be in your best interest—to turn down a pay raise? 4.What effect might progressive taxation, or increasingly higher tax rates, have for the incentives to create wealth? 5.If Bangladesh unionized its entire work force, would its standard of living change? 6.Is greed compatible with good citizenship? Explain. 7.List several factors that determine economic growth.