ETHICS IN MANAGEMENT

MODERNITY
PHILOSOPHICAL AND ETHICAL INSPIRATIONS

Tadeusz Oleksyn, 2020

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UTILITARIANISM / PHILOSOPHY OF COMMON SENSE
► In the eighteenth century, an important philosophical direction
emerged - utilitarianism. This was done by Jeremy Bentham (1748 –
1832) and John Stewart Mill (1806 – 1873). Both of them were
English philosophers, economists and political scientists. Bentham was
aditionally a lawyer.

► Both of them were not only creators of utilitarianism but creators and
leading representatives of modern democratic liberalism, too. They are
indeed two outstanding thinkers.

► Utilitarianism wasn’t an entirely new philosophical trend. In fact, it was

a recreation of ancient Greek hedonism - in the realities of the
European Enlightenment. According to J. Bentham, good is pleasure
and evil is suffering. According to J.S. Mill good is happiness and bad is
lack of it; Mill was in agreement with Aristotle here.
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 UTILITARIANISM (2)
► The highest good is prosperity of society. Whether the plans, projects,
actions or decisions are right it is determined by the amount of good
and evil they will bring. The proportion is decisive. Lots of good and
few of bad side effects is a good result.

► It’s an open question whether is it possible to achieve only good

results. Probably it is not possible or very difficult.

► Utilitarianism is friendly to the economists; they are thinking in this

way. Their duty is maximising of good (products, services, customer
satisfaction, profits) and minimizing of evil (suffering, powerty, waste
of waste of hope, trust, time, money, human labor, materials, etc.)

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 UTILITARIANISM (3)

 Economists and managers think like utilitarians. They know that not
everything will be achieved, there will be some failures and some
losses. The sum of profits and losses (balance) will decide about the
final grade.

 Professional ethicists are thinking otherwise, in a different way.

Balance isn’t in the centre of their thinking. If a hundred people have
gained and five have lost, they ask why five people have lost - and
they are disagree.

 Ethicists believe that mathematical or financial comparisons of the

happiness and misfortune of different people "on balance" are
immoral.

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 UTILITARIANISM (4)
A topic for discussion
The Russian part of Asia - Siberia - has about 13 million. km. sq. and about 30
million people. China has about 8 million. km. sq. and lives there over 1,300
million. people. From a utilitarian point of view, it would be more fortunate for
more people if the Chinese could live in Siberia, too. By rejecting the war scenario,
this could be done in several peace – full ways:
(1) Selling part of the territory of Siberia by Russia to China.
(2) Settlement of a certain number of Chinese in Siberia, who would develop the
land in an agreed with Russia manner and take over part of the lands in return
(3) Another way suggested by students.
What are you thinking about this?
The example is abstract, Russia will not accepte of these scenarios.

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 UTILITARIANISM (5)
 According to the utilitarians, the goal of any should be "the greatest
happiness of the greatest number of people” (J. Bentham).

 Since the 20th century the understanding of good by utilitarians has

became wider: it was not only happiness and pleasure, but also
freedom and autonomy, friendship, development of business,
competencies, scientific, artistic achievements, and so on.

► Weaknesses of Utilitarianism:
- how to measure and compare the happiness of different people and
whether it is at all possible?
- there is a risk that in the name of "greatest happiness of the
greatest numer people ” majority can sacrifice the good of
individuals and various minorities.
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 CONSEQUENTIALISM
► A similar reasoning was adopted in the mid-20th century by Elisabeth Ascombe
in her consequentialism (1957). The main idea of consequentialism is: Good
actions and good decisions are the ones that bring good results. There is
reference to the Gospel, where Jesus says: You will know them by their fruits;
a good tree bring good fruits, and a bad tree bad fruits.

► So good actions and good decisions are those that bring good results. But the
problem is that the effects of decisions and actions are visible in the future -
sometimes far away. Not all of them can be accurately predicted.

 Often the effects are both positive and negative. Also the solution of one
problem or important social issue evokes a new one, sometimes worst.

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 CONSEQUENTIALISM (2)

► Examples of bad effects of positive changes:

- 2000 years of Europe’s poverty were not as dangerous as 70 years
of its riches. Europeans enjoy their luxury and don’t want children;
as a result, Europe is dying out.
- Extending human life, as everyone wanted, is causing massive and
serious neurological diseases that degrade the elderly (Alzheimer’s
disease, Parkinson's disease, many others). As a result, we have
often not lenghten of life, but lenghten of old age. Moreover, there is
no money for pensions because people live long.
- Until recently, most of humanity was hungry. Now diseases from
prosperity are developing: obesity, diabetes, arthritis and much
more. People didn't want to work physically, now they don't move
enough.

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 CONSEQUENTIALISM (3)
- For several centuries, women fought for equal rights, education and
professional work. They have achieved this in many countries, which
is a great success. However, they have problems with reconciling
their professional career and having children. Half of American
women over 40 with an MBA degree have one child and the other
half
have none.

 There are many such examples. Generally, it seems that the lives of
the new generations are better than the previous generations. But in
fact the elimination or reduction of the old social problems causes new
ones to arise.

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 CONSEQUENTIALISM (4)

► In the future, humanity will face no less challenges: artificial

intelligence, genetic modifications and improvements, space travel, the
colonization of other planets. We must already intensively save life on
Earth; 60,000 species of flora and fauna die out every year.

► Development cannot be stopped. However, you need to control it,

show more imagination and responsibility.

► A sentence from the Gospel - you will know it by its fruits - is true. The
role of ethics (not only consequentialism) is to make them the fruit of
a wise and responsible life, not destruction.

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 RELATIVISM
► Relativism is not aquite new philosophical trend, but it became very
popular in the last decades of the 20th century. Relativists believe
that almost everything is relative. What is right and what is wrong
depends on the times and society in which one lives. There are no
universal timeless values ​and principles. And if they are, there are
few.

► It is impossible to compare or establish a hierarchy of different moral

norms in different cultures. We should not judge other societies and
other times by the standards of our own time and culture.

► At its most extreme form, relativism claims that everything is relative

and that every view is as good as any other. The same can be said
about cultures: there is no better or worse.

 There is no one common truth. Everyone has their own truth.

Besides, relativists talk more about narration than about truth. Thus
everyone has their own narrative. These narratives do not need to
be agreed.
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 RELATIVISM (2)
► As you can see, the relativism is a strange philosophy. It is convenient
in the sense that anyone can justify their thinking and acting. It is a
path to perfect tolerance and, perhaps, indifference - but also to the
resolution of many conflicts.

► Relativism is better than aggressive fanaticism, hatred, conflicts and

brawls. If you believe that everyone has their right and truth, and you
have no intention of persuading anyone or fighting about anything,
this is a very peaceful philosophy.

► However, relativism is generally useless in education, management,

politics, and creating progress. However, it has some value as an
attitude towards others, especially in intolerant and quarrelsome
communities – for example in Poland. Especially in matters of little
importance.
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 RELATIVISM (3)
► Relativism harmonizes well with post-modernism. Both are very open-
minded, tolerant, a bit infantile. It makes it easier to maintain good
relationships.

► There are different kinds of relativisms: moral / ethical, cultural,

anthropological, sociological, and others. Neither of them is clearly
understood.

► Moral relativism is in strong opposition to moral / ethical absolutism /

rigorism. Moral relativism sees the source of morality or ethics in man
and in the social contract. Moral absoluteism often has a religious or
ideological background - conservative, right-wing, authoritarian or
totalitarian. Both sides accuse themselves of being infantile.
Question: What are you thinking about moral relativism and absolutism?

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 RELATIVISM (4)
► Proponents of moral absolutism often refer to divine or natural law.
They also emphasize its stability. Proponents of moral relativism point
out that ethics evolves and will change over time. There are ethics
rules but also some exceptions that are necessary in order to maintain
the flexibility and avoid cruelty.

► This cruelty often have appeared in the thinking and practices of

various moral fundamentalists from different religious, political and
cultural circles – in the past and now.

► Relativists and moral absolutists usually ignore the fact that different
people can have different moral systems. Fundamentalists tend to be
more intolerant (and insensitive).

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 RELATIVISM (5)
Critics:
 If two societies differ significantly from each other, that is
it is likely that one is a bad society and the other good.

 Fascist society is not as good as it is democratic. The ethics of a

member of the Ku-Klux-Klan is not as good as that of a member of
Doctors Without Borders. The culture of cannibals or human sacrifice
tribes is not as good as that of those who do not murder people for
culinary or ritual purposes.

 Relativism creates unlimited scope for abuse and manipulation.

It is demoralizing and socially dangerous. He falls victim to his own
twisted logic: if everything is relative, so is relativism too.
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 RELATIVISM (6)
Matters for discussion

1. What are you thinking about moral relativism and absolutism /

fundamentalism?

2. Does moral relativism concern general philosophical and worldview

issues or also the individual's lack of morality, being guided by comfort
and egoism?

3. How is manager supposed to act? On the one hand, management

must be based on principles, including ethical ones. On the other hand,
he should avoid moral fundamentalism and all fanaticism.
How to stay within these boundaries?
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 DOES A GOOD PURPOSE JUSTIFY
IMORAL MEASURES?
► This issue has become famous since the publication of Niccolo
Machiavelli's book "The Prince" (1513/1532). Machiavelli was a
philosopher and political scientist during the Italian Renaissance,
adviser to Duke Lawrence II Medici.

► The Medici family was very rich thanks to the well-run Medici Bank.
They had ambitions to unify Italy. They were also very famous patrons
of the arts - the most famous artists of their era.

► In his book, Machiavelli writes how to gain and maintain power. To

achieve this goal, it allows the use of unethical methods to a limited
extent. He even writes that it is sometimes even necessary. His book -
demoralizing but not devoid of many accurate observations - was the
favorite reading of many tyrants – in it Napoleon, Stalin, Hitler.
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 SITUATIONAL ETHICS
Essence

► Situational ethics argues that whether an action is ethical or not is

determined by the situational context. For example, stealing is
generally bad, but stealing a gun that someone wants to murder can
be a good act.

► Situational ethics holders believe that up to 10 commandments are

relative. Jesus replaced them with one universal commandment to love
God and a neighbor / the other man.

► Therefore, actions and intentions should be judged whether are they a

result of selfless love (agape). Even murder can sometimes be
necessary and justified - for example a necessary defense of oneself or
others.
10 commandments - commandments given by God to Moses for Israel.
Agape (Gr.) - this is Christian selfless love, without waiting for a rematch or gratitude. Christian love is
more an attitude than a feeling. It's more kindness than love.

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 SITUATIONAL ETHICS (2)
Situational ethics and natural low
► Love and people are the most important for situational ethics.
Decisions are made that best serve people and are based on love
(Joseph Fletcher, Situation Ethics, Filadelfia 1966).

► The supporters of situational ethics do not use words like never,

always, absolutely, because in their opinion specific situations force
deviations from the rules.

► A proponent of natural law asks what the norm says. Situational

ethicist – about what best serves people. Thus, situational ethicist can
to be in opposition to natural law.

► Jesus and St. Paul replaced the Jewish Torah and law with the
universal principle of love, which is more flexible and serves people
better.
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 SITUATIONAL ETHICS (3)
advantages / strengths

► the possibility of a better choice of measures and activities;

► greater flexibility;

► mitigating the sometimes too heartless / hard law;

► situational ethics is generally understood and accepted; the

circumstances are also taken into account in criminal law;

► situational ethics extends to the sphere of freedom and responsibility

with the hope that people will grow up to do so.

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 SITUATIONAL ETHICS (4)
Weakness:

► Sometimes it is difficult to say whether even by being guided by agape

we do not harm someone. (The road to hell is paved with good
intentions).

► Overprotective parents, driven by love for a child, can have a bad

influence on their fate. Similarly - overprotective bosses at work
(paternalism).

► Our assessment of the situation may be wrong, as well as the

abandonment of universal values ​and principles due to a wrong
assessment of the situation or circumstances.

 Our actions and behaviors can be reproduced by people who do not

know and do not understand the context in which we took them.
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 SITUATIONAL ETHICS (5)
Questions

1. What are you thinking about situational ethics?

2. Do you think that situational ethics in management brings?

more good or bad?

3. How to expand the space for situational ethics? It is certainly necessary

to avoid over-regulation both in the country and in the organization.
What else?

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 DEONTOLOGY / ETHICS OF OBLIGATION
Kant’s deontology
 Its creator is considered to be Immanuel Kant (1724-1804), the most
outstanding philosopher - an ethic of the modern era. Nevertheless,
deontology was initiated in ancient Greece (sophists, Aristotle, and the
Stoics).

► Kant is the author of the "categorical imperative". This is a suggestion

to do as everyone else would. For example, if you want to lie, consider
whether you would like everyone to lie. Life would then become
unbearable.

 Kant's ethics is an ethics of duty, and duties are simply discharged: Do what
you should because you should.

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 DEONTOLOGY / ETHICS OF OBLIGATION (2)
Kant’s deontology
 Kant's ethics has the character of a formal system: it does not says
what exactly is right and what is wrong, but only provides a tool for
such a judgment. It appeals to human reason and free will.

► An important addition to Kant's deontology was made by Nicolai

Hartmann (1882-1950): A man has an internal duty to be in harmony
with himself, but without violating general values and good customs.
Someone who is faithful only to himself, ignores general ethical
principles and good manners, is not a moral person.

► According to I. Kant, everyone has an inner sense of morality: The

starry sky above me, the moral law within me.

► Politics should be moral; morality comes before politics.

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 DEONTOLOGY / ETHICS OF OBLIGATION (3)
T. Oleksyn’s comments on responsibility
1. Everyone, especially adults and mentally and physically fit, has
numerous responsibilities. They result from social, professional and
other roles that they have assumed or which result from family, civic,
legal or customary responsibilities.

2. Multiple roles, frequent role ambiguity and role conflicts are common,
quite frequent role or role overload. Due to the limited
time resources are dedicated to optimizing the number of times filled
by each of us roles and the resulting burden.

3. However, the possibilities for control and optimization are limited

here, and we cannot break free from some roles.

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 DEONTOLOGY / ETHICS OF OBLIGATION (4)
T. Oleksyn’s comments on responsibility
4. Certain competencies are required to fulfill each of the roles
you have to acquire and update.

5. Assertiveness is an important personal competence. It is located

between submission and domination. It is about defending your own
aspirations and desires before the duties and tasks imposed on us
we do not want and do not like and for which we do not have time.

6. In practice, assertiveness leads to some kind of compromise. There

are many tasks and noble goals. However, we are not in able to
engage in all of them only because they are beautiful and
precious. We have to choose. And we also need to have some time
for ourselves.
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 DEONTOLOGY / ETHICS OF OBLIGATION (5)
T. Oleksyn’s comments on responsibility

7. The responsibility of managers is generally greater than that of

employees. They are responsible not only for their own decisions, conduct
and results, but also for the recruiting and selecting staff, building teams,
training people. They are also responsible for safety, attitudes, behavior
and performance of employees, assessment and motivation of them.
Authority can be delegated, but responsibility cannot be delegated.

8. Managers are co-responsible for the results of the organization's work,

the quality of products and services, its image with customers and in local
communities. They are responsible for the competitive position,
preparation for future operation, compliance with the law and good
manners, and the general atmosphere at work.

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 DEONTOLOGY / ETHICS OF OBLIGATION (5)
Questions

1. Do you agree with the thesis that the ethics of duty is close to most
managers and employees?

2. Could it be said that it is inherently unethical not to fulfill a voluntary

obligation? Are there any exceptions?

3. Does the ethics of duty have to be sad / gloomy ”? How to revive it

and make it more attractive?

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 ETHICS OF EXISTENTIALISM (1)
Two currents
 There are two currents in existentialism / two kinds of existentialism:
(1) nihilistic and atheistic, which Władysław Tatarkiewicz describes
as existentialism in the narrower sence;
(2) Christian personalism, often called Katholic personalism.

 Existentialism (1) spread in the 1940s after the horrors of World War
II. The main representative was the French philosopher and writer J.P.
Sartre. The precursor has been Sörren Kierkegaard (XIX century).

 Existentialists saw the world with awe / fear - more metaphysical in

the case of Heidegger and more moral in the case of Sartre. Sartre
also strongly expressed his disgust towards the world and humanity.
They considered the world and life absurd, meaningless - unless we
gave it (that sense) ourselves [Tatarkiewicz, 1981, p. 353].

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 ETHICS OF EXISTENTIALISM (2)
Atheistic wersion

 The atheistic wersion is generally gloomy: The world is absurd. Life

makes no sense (except maybe biologically prolonging the species).
Man passes away. The universe is indifferent or hostile. You can only
lean on yourself. God does not exist, and even if he is, he is silent.

► Attention is drawn to the drama of choice: choosing one, I lose the

other. J.P. Sartre describes this drama with the example of a man who
invites two women to a kayak - his sister and his fiancée. Both ladies
cannot swim, nobody has a life jacket. In the middle of the river, the
canoe begins to sink and he is only able to save one of them. By saving
his fiancée, he loses his sister, while saving his sister, he loses his
fiancée. Each choice is wrong, with tragic consequences.

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 ETHICS OF EXISTENTIALISM (3)
Atheistic wersion (2)

 Existentialists stressed the need for genuine /real existence. This was
a key ethical issue and the starting point for accountability and
honesty. A person who is not authentic, who is not himself and who
does not live authentically, can neither be free nor fully responsible.

► This path is, in its own way, heroic. It demands - despite such a dark
image and human fate - self-realization and development, and efforts
to give meaning to one's life and to be a philosophy not only for
oneself, but also for others.

► These expectations and requirements are even greater in the case of

managers who give meaning not only to their lives and professional
work, but also to their employees and colleagues.

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 ETHICS OF EXISTENTIALISM (4)
Christian / Katholic Peronalism

► The direction has been present since the 1930s. But the origins can be
traced back to Aristotle and St. Thomas Aquinas. The most prominent
representatives: Pierre Teilhard de Chardin, Mieczysław Gogacz,
Jacques Maritain, Edyta Stein, Józef Tischner, Karol Wojtyła.

 It focuses on the human person (Latin persona - hence the name of

the course). It does not put society at the center. It believes that the
person and personality are the key to ethical cooperation of people. He
claims that religion is mainly a person's direct personal relationship
with God.

► The philosophy and ethics of Catholic personalism show some similarities with
atheistic existentialism. Equally great importance is attached to human
freedom and responsibility.

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 ETHICS OF EXISTENTIALISM (5)
CHRISTIAN / CATHOLIC PERSONALISM (2)

► The main difference is that existentialism is an atheistic and pessimistic

trend, showing the loss of man. Catholic personalism is a theistic and
optimistic philosophy. Recognizes the supremacy of the human person
over history and economy.

► Christian personalism presents man's vocation to live with God as a

very optimistic fact.

► It emphasizes the importance of moral education, the importance of

truth as the basis of social life, as well as education to freedom and
responsibility.

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 ETHICS OF EXISTENTIALISM (5)
Questions

1. What are the common features of atheistic existentialism

and Christian personalism

2. What are the lessons for management from existentialism?

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 LIBERALISM
► Liberalism is a philosophy that strongly exposes the meaning and need
for freedom and responsibility. This is an advantage, because both
freedom and responsibility serve people, society and the economy
well.

► The opposite of freedom is bondage and the opposite of responsibility

is irresponsibility. There is nothing good about bondage or
irresponsibility. It is therefore foolish to fight liberalism and discourage
people from it.

► These sentences are true assuming that we obey the principle that the
limit to our freedom is violating the freedom of other people. We must
not go that far.

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 LIBERALISM (2)
► Liberalism manifests itself on several different planes simultaneously:
philosophical and ethical, economic and social. Liberalism is good for
entrepreneurship, creativity, activity and the use of all capital,
including human capital.

 Liberals believe that the when more fully individual freedom and
entrepreneurship are realized, the greater part of society will be happy
and prosperous. It will also encourage entrepreneurship in others. The
natural state for man is activity and entrepreneurship, resulting from
natural vitality and joy of life.

► The state should engage mainly in those areas that individual people
are unable to manage on their own (law, defense, protection of
citizens against criminals, judiciary, foreign policy, alliances, etc.).

 Activity, independence and resourcefulness of individuals in liberalism is an

ethical imperative. The economy should be autonomous. State interventionism
should be limited.

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 LIBERALISM (3)
► Liberalism has a long history and evolution. It was associated with the
fight against despotism, arbitrariness and the oppression of citizens by
the rulers. Liberalism is opposing authoritarian rulers and various
oppressors (feudal lords, military junts, dictators, fascists, communists,
populists, etc.

► An important date in the history of liberalism is the year 1215 in

England and the document Magna Charta Libertatum. At that time, the
despotic English king John without the Earth had to give way to a
rebellious society. Under the threat of civil war, he relinquished excess
power and lawlessness. He resigned from prison without the verdict of
the courts, theft of property, tax arbitrariness. This document was
recognized in 2006 by the United Nations as one of the most important
in the history of mankind.

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 LIBERALISM (4)
► The sharing of the king's power with others and the tripartite division
of power also took place in Poland a long time ago. They resulted in
specific documents, called privileges. Were agreed, inter alia in Cień
(1224), Lutomyśl (1291), Koszyce (1374 and 1381), Vilnius (1391),
Piotrków (1388, 1493, 1496, 1504), Czerwińsk (1422), Jedlnia and
Kraków (1430), Cerkwica (1454) , Nieszawa (1454), Korczyn (1456),
Radom (1505), Toruń (1518) and others.
► The kings undertook not to raise taxes and not to introduce new ones,
the autonomy of the judiciary, parliaments and sejmiks, they granted
autonomy to cities. The greatness of Poland in the 13th - 17th
centuries was to a large extent the result of liberal and democratic
philosophy - although this did not apply to peasants.

► The kings undertook not to raise taxes and not to introduce new ones,
the autonomy of the judiciary, parliaments and sejmiks, they granted
autonomy to cities. The greatness of Poland in the 13th - 17th
centuries was to a large extent the result of liberal and democratic
philosophy - although this did not apply to peasants.

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 LIBERALIZM (5)
► Liberalism is related to democracy; without freedom there is no
democracy, and without democracy there is no freedom. There is no
such thing as an illiberal democracy.

► There are some differences between liberal democracies in different

countries. In particular, two models can be distinguished: Anglo-Saxon
liberalism (mainly in the USA and GB) and European ordoliberalism
(mainly in Germany, the Scandinavian countries and the Benelux
countries). Ordoliberalism is also called the social market economy.

 Every liberal democracy is opposed to authoritarian rule and

dictatorships. Each one is based on civil society. Each one respects the
tripartite division of powers and the rule of law.

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 LIBERALIZM (6)

Questions:
1. Is it possible to quickly build a liberal system in a country?
Can you give any examples?

2. What is the ethics of the liberal system?

3. What are the management features of a liberal system?

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 SOCIAL MARKET ECONOMY
AS A FORM OF LIBERALISM; ORDOLIBERALISM

► Ordoliberalism is a philosophy of organizing social, political and

management life. It was designed in Germany on the dark night of
Nazism in the 1930s. and the 1940s. as a private and secret project.
The creators of ordoliberalism were German politicians and
economists, mainly Christian democrats and anti-fascists: W. Eucken,
F. Bohm, A. Müller-Armack, H. Grossmann-Dorth, L. Erhard - later
chancellor of the German Federal Republic.

► Their goal was to create a system that could be applied in Germany

after the fall of Nazism. It could not be a totalitarian or authoritarian
system, but a democratic system with a social market economy. But
the Authors concluded that American-British liberalism would not be
optimal for the Germans. Culture of Germans is rather collectivist, role
of state – bigger than in the USA or Great Britain.

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 SOCIAL MARKET ECONOMY
AS A FORM OF LIBERALISM; ORDOLIBERALISM (2)
The idea of ​ordo originated in ancient Rome in the 1st century BC. It
combines the autonomy and activity of citizens with the regulatory
function of the state. Several other important assumptions were made in
German ordoliberalism:
 British-American liberalism has advantages, but it should be
adapted to German culture with more regulatory function state and
focus on a more collective socjety.
 Acceptance of the market economy as a means of efficiency, but with
a certain reserve against capitalism.
 The state of law protecting the market economy and fighting it
monopolies and oligopolies and not allowing pathologies.
 A state that protects the weakest, combats social exclusion and not
allowing excessive social stratification.
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 SOCIAL MARKET ECONOMY
AS A FORM OF LIBERALISM; ORDOLIBERALISM (3)

► The regulatory function of the state is not to rely on excessive

intervention. The role of the state is to prevent the degeneration of the
market economy. The market economy is considered to be valuable
and requires protection, mainly legal. The state is to protect free
competition, guarantee the stability of money, freedom of contracting,
and recognize the primacy of private property.

► The economy is supposed to serve society, not the other way around.
Income disproportions should not be too large. Enterprises are to be
socially responsible. Social insurance and health care should be
developed, families and economically weaker groups supported.

► The key values ​are the market economy, rule of law, private property,
prosperity, social security, justice.
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 SOCIAL MARKET ECONOMY
AS A FORM OF LIBERALISM; ORDOLIBERALISM (4)

► The specific ethics of ordoliberalism aims to combine the ethical values ​

important in liberalism - such as individual freedom, responsibility,
resourcefulness, entrepreneurship, private property and free
competition (also treated as ethical values) - with some values ​of
communitarianism: social solidarity, cooperation, aid for the underdog
and Catholic social teaching.

► Ordoliberalism assumes the necessity of state-building behaviors and

attitudes that should be developed.

► Ordoliberalism was at the heart of the German social market economy. It is also
included in the Polish constitution. Unfortunately, this is a dead write.

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 SOCIAL MARKET ECONOMY
AS A FORM OF LIBERALISM; ORDOLIBERALISM (5)
► The ordoliberal model combines seemingly incompatible opposites,
such as fire and water. Although much criticized in the 1990s and the
first decade of the 21st century, also in Poland, it is doing well. There is
a high standard of living in the countries that apply it. Relations
between entrepreneurs and employees are not very confrontational.
Ordoliberalism has stood the test of time and is now the subject of
envy rather than criticism in many countries that have embraced the
British-American style of neoliberalism.

► The German economy is developing well, exports and competitiveness

are high, social security is relatively high, and the relations between
entrepreneurs and employees are exemplary. There is a positive
attitude of entrepreneurs towards trade unions and good cooperation
with them. Society is dynamic, you can often see well-being, vitality
and energy. There is a high level of trust.

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 SOCIAL MARKET ECONOMY
AS A FORM OF LIBERALISM; ORDOLIBERALISM (6)

► The model of social market economy works very well also in the
Scandinavian countries - Sweden, Norway, Finland and (especially)
Denmark, where the level of happiness of the society is the highest in
Europe. Scandinavian enterprises are innovative, effective and
competitive, and the state's attitude to citizens is friendly and
sympathetic.

► One problem, especially in Sweden and Norway, is the atomization of

society and loneliness. People are very emancipated and focused on
their own long-term goals, which they pursue individually. Family and
friendship relationships are often weak and fleeting. Perhaps it is also
influenced by the depressive climate (leaden sky, little sun). Probably
also the state taking over too many care functions and depriving them
of families.
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 SOCIAL MARKET ECONOMY
AS A FORM OF LIBERALISM; ORDOLIBERALISM (7)

Questions
1. Some specialists believe that ordoliberalism is one of the
forms of liberalism, and the second part, that it is a
separate form, although similar. How do you think?
2. Do you like Anglo – American liberalism more?
German ordoliberalism or the Swedish social market
economy? Why?
3. Sometimes ordoliberalism, the Scandinavian system and
Canadian is called the welfare state. Is that a good name?

47
 Literature:
 Arystoteles, Etyka wielka. Wydawnictwo Naukowe PWN, Warszawa 2010
 Diogenes Laertios, Żywoty i poglądy słynnych filozofów. PWN, Warszawa 1984.
 Elementy etyki gospodarki rynkowej, red. B. Pogonowska. PWE, 2000
 Encyklopedia PWN w trzech tomach. Wydawnictwo Naukowe PWN, Warszawa 1999.
 Filek J., Filozofia jako etyka. Wydawnictwo Znak, Kraków 2001
 http://www.britannica.com/EBchecked/topic/132184/Confucius
 Kietliński K., Martinez Reyes V., Oleksyn T., Etyka w biznesie i zarządzaniu. Oficyna
Ekonomiczna, Kraków 2005.
 Krońska I., Sokrates, Wiedza Powszechna, Warszawa 1985
 Laozi (Chinese Daoist philosopher – Britannica Online Encyclopedia – Windows Internet
Explorer
 Pl.wikipedia.org/Wiki/Konfucjusz
 Pl.wikipedia.org/Wiki/Taoizm
 Popkin R.H., Stroll A., Filozofia. Wydawnictwo Zysk i S-ka, Poznań 1994
 Teichman J., Etyka społeczna. Oficyna Naukowa, Warszawa 2002
 www.chiny.pl/wuchang.php

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