Evaluate the price-fixing scheme from an ethical point of view (your evaluation should describe the effects of the scheme on society's welfare, on the moral rights of society's members, and on the distribution of benefits and burdens within society). In your judgment, did Clarence Burke act wrongly? Why? Was he morally responsible for his actions? Why?
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OTA 105878/Xenia Jones
Clarence Burke: GE Price Fixing
Price fixing is the arrangement between parties involved in a particular market to maintain elements, factors and conditions that will fix the price of a product or a service to benefit their profit margin. This usually involves the manipulation of supply and demand with the intent of pushing the price ceiling up or, at times, prices are fixed to affect discount or to lower prices. What defines this is that there is some kind of understanding or agreement to fix the price of a product or commodity whether openly expressed or even just implied. Ethically, price fixing is wrong. The capitalist market is supposed to be about equal and fair trade. Price fixing for whatever reason does not follow this tenet as there is ...
The solution provides insight and advise in tackling the set task (see above), an evaluation of the price-fixing scheme from an ethical perspective as well as its social effects. The actions of Clarence Burke, a GE technician in the 60's who allowed to make possible such an act (price-fixing) between GE and their competitors in terms of the prices of electric products that GE and other manufacturers provide to the market is also discussed. Resources are listed for further exploration of the topic.