I’ve started this blog as a meditation on ethics in the context of business. Having suffered through a number of books on the topic, and having found them entirely unsatisfactory, I'm left with the sense that anyone interested in the topic is left to sort things out for themselves. Hence, this blog.

Status

I expect to focus on fundamentals for a while, possibly several weeks, before generating much material of interest. See the preface for additional detail on the purpose of this blog.

Sunday, October 17, 2010

Prioritization of Interests

Consideration of the hierarchy of needs as a basis for the prioritization of interests would suggest that the most ethical decision is driven by the utility to the lowest level of need. But I have a sense it’s not quite so simple.

When an individual makes a decision that has consequences only to himself, it is plausible to consider that the definite sacrifice of a higher priority in order to definitely achieve a lower priority is irrational. (To be considered separately: do ethics even apply in such a situation?) However, in advance of an action being undertaken, the outcomes are not definite, and the decision-maker must consider probability.

In that sense, an individual may perceive that the chances of success at serving the lower priority are such that it is worth the risk to the higher priority. For example, entry into many social groups (a third-level priority) require an individual to undergo an initiation that poses an immediate threat to their well-being (a first-level priority). In is not unusual, nor necessarily irrational, for an individual to accept that risk.

The risk involved in investing is of a similar nature: while both the amount risked and the amount gained are a second-level priority (wealth, as a means to satisfy future needs), an individual may assess that the benefit of increasing their wealth is worth the risk of the amount they risk in the investment.

When an individual makes a decision that has consequences to himself and another person, interests are viewed from the perspective of the decision maker. That is to say that a first-level priority of one party (their immediate need) is at best a third-level priority when the consequences to them is made by someone else (presuming they value their social connection to another party).

The ethics of survival puzzles generally play upon this principle: a person who has the authority an ability to decide on a disposition of a resource that is immediately needed for himself and another party, it is presumed that the inclination of the decision-maker is to serve his self-interest first. From a purely functional or purely psychological perspective, this may be entirely justified, but it is not necessarily acceptable from an ethical perspective.

When an individual makes a decision that has no consequences to himself, and the benefit or harm is only to other parties, similar factors are taken into consideration. When the benefit and harm are to be done to a single party, the decision-maker is to consider the value of each and the risks to be considered (in effect, to make as “good” a decision for the other party as he would for himself).

When the benefit is granted to one party at the expense of another, the decision-maker who is motivated entirely by self-interest can be expected to consider the value of each party to himself, and comes to a decision based on the value he places on his future relationship with each of the two parties. However, if the decision-maker has no existing relationship and expects to have no future relationship, his decision is arbitrary.

Much of this bears further consideration – but insofar as the prioritization of interests is concerned, it would seem acceptable to accept Maslow’s hierarchy of needs as a basis for rational decision-making when the benefit and harm implicit in a decision pertain to a single party. However, it is not a complete answer to the dilemma faced by a decision-maker who is weighing consequences that benefit one party and harm another.

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