Module 5

Lesson 1: Globalization and

Pluralism: New Challenges
to Ethics
• Globalization has renovated the globe from a collection of separate
communities interacting infrequently into a virtually one multi-
faceted community. Politically, economically, and culturally therefore,
communities across the world now function in what is fundamentally
a shared space although divided into artificial political condominiums
called nation-states. The transnational relations made possible by
globalizing forces and processes have opened up new forms of social
bonds and responsibilities
 Pluralism
• As a philosophical doctrine, Pluralism is a concept used in many
diverse ways, but, in general terms, it is the philosophical theory that
there is more than one basic substance or principle, whether it be the
constitution of the universe, of the mind and body, the sources of
truth, or the basis of morality. In this discussion, we are more
concerned with moral pluralism.
 Moral Pluralism
• Also known as ethical pluralism and value pluralism, moral pluralism is
the idea that there can be conflicting moral views that are each
worthy of respect. It thus implies that there are some values which
may be equally correct and fundamental, and yet in conflict with each
other. Moreover, moral pluralism proposes that in many cases, such
incompatible values may be incommensurable, in the sense that there
is no objective ordering of them in terms of importance.
 Against Moral Pluralism
Although moral pluralism, at first glance, seems to be flawless and
attractive, it is definitely not immune to valid criticisms when
philosophically analyzed. For one thing, moral pluralism fails to
stipulate what to do when two or more of its values or theories indicate
inconsistent practical imperatives.
 Globalization
•
Globalization may be defined as the world-wide integration of
government policies, cultures, social movements, and financial
markets through trade and the exchange of ideas. The British
sociologist Anthony Giddens defines it as "intensification of
worldwide relationships which link distant localities in such a way that
local happenings are shaped by events occurring many miles away
and vice versa" (as quoted in "Globalization," n.d.).
 Some Problems with Globalization
• Although generally seen as downright 'good' especially by many
economists, globalization unfortunately has a dark side. Author Gail
Tverberg enumerates some reasons why globalization is not living up
to what was ideally expected of it, and is, in fact, our very major
problem today. The following is a summarized version of his online
article, "Twelve Reasons Why Globalization is a Huge Problem"
(Tverberg, 2013):
• A. Globalization uses up finite resources more quickly. As an example,
China joined the world trade organization in December 2001. In 2002,
its coal use began rising rapidly. In fact, there is also a huge increase in
world coal consumption. India's consumption is increasing as well, but
from a smaller base.
• B. Globalization increases world carbon dioxide emissions. If the world
burns it's coal more quickly, and does not cut back on other fossil fuel
use, carbon dioxide emissions increase
• C. Globalization makes it virtually impossible for regulators in one
country to foresee the worldwide implications of their actions. Actions
which would seem to reduce emissions for an individual country may
indirectly encourage world trade, ramp up manufacturing in coal-
producing areas, and increase emissions over all.
• D. Globalization acts to increase world oil prices Oil supply not growing
very much due to limits we are reaching, and partly because demand is
exploding due to globalization If we look at world oil supply, it is virtually
Rat Part of our problem now is that with globalization, world of demand is
rising very rapidly Chinese buyers purchased more cars in 2012 than aid
European buyers, Rapidly rising world demand, together with ot supply
which is barely rising, pushes world prices upward. The East has sufficient
pent-up demand that it will make use of any out that is made available to
the market.

• E. Developing countries are better able to use higher-priced oil than

developed countries. In some cases (particularly in oil-producing
countries) subsidies play a role. In addition, the shift of manufacturing to
less developed countries increases the number of workers who can afford
a motorcycle or car. Job loss plays a role in the loss of oil consumption
from developed countries.
• F. Globalization transfers jobs from developed countries to less
developed countries. Globalization levels the playing field, in a way
that makes it hard for developed countries to compete. A country
with a lower cost structure (lower wages and benefits for workers,
more inexpensive coal in its energy mix, and more lenient rules on
pollution) is able to out- compete a typical OECD (Organisation for
Economic Cooperation and Development) country. In the United
States, the percentage of US citizens jobs started dropping about the
time China joined the World Trade Organization 2001.
• G. Globalization transfers investment spending from developed
countries to less developed countries. If an investor has a chance to
choose between a country with a competitive advantage and a
country with a competitive disadvantage, which will the investor
choose? A shift in investment shouldn't be too surprising
• H. With the dollar as the world's reserve currency, globalization leads to
huge US balance of trade deficits and other imbalances. With increased
globalization and the rising price of oil since 2002, the US trade deficit
has soared. A major reason for this is the fact that the US dollar is the
world's "reserve currency." With the current working mechanism, the
result is that the US can run deficits year after year, and the rest of the
world will take their surpluses, and use it to buy US debt. With this
arrangement, the rest of the world funds the United States' continued
overspending.

• I. Globalization tends to move taxation away from corporations, and onto

individual citizens. Corporations have the ability to move to locations
where the tax rate is lowest. Individual citizens have much less ability to
make such a change. Also, with today's lack of jobs, each community
competes with other communities with respect to how many tax breaks
it can give to prospective employers.
• J. Globalization sets up a currency "race to the bottom, with each country trying
to get an export advantage by dropping the value of its currency Because of the
competitive nature of the world economy, each country needs to sell its goods
and services at as low a price as possible This can be done in various ways pay its
workers lower wages, allow more pollution; use cheaper more polluting, fuels; or
debase the currency by Quantitative Easing (also known as "printing money.") in
the hope that this will produce inflation and lower the value of the currency
relative to other currencies.
• K. Globalization encourages dependence on other countries for essential goods
and services. With globalization, goods can often be obtained cheaply from
elsewhere. A country may come to believe that there is no point in producing its
own food or clothing. It becomes easy to depend on imports and specialize in
something like financial services or high- priced medical care-services that are not
as oil-dependent.
• L. Globalization ties countries together, so that if one country collapses, the
collapse is likely to ripple through the system, pulling many other countries with
it.
 Ethical Challenges of Globalization
• The previous section deals mainly with economic aspects of
globalization. This portion, nonetheless, contend with their ethical
implications and other moral challenges posed by globalization itself.
• One criticism against the presently unfolding neoliberal globalization
is that it concentrates wealth in the hands of a few, leaving the
majority in the condition of poverty. While advocates of globalization
paint a pretty picture of a globalized world marked by the spread of
liberal democracy, prosperity, and peace, globalization has actually
caused radical inequality, a deepening of exclusions brought about by
inequalities that present the world to be a fragmented space where
some benefit at the expense of others. Critics thus describe
globalization as a process driven by progressive capitalist countries to
perpetuate their economic and political domination
 Globalization and Business Ethics.
• As globalization is largely an economic concept and system, it is
rational to have a separate section that deals with the issues and
challenges it creates that concern business ethics. Basically, business
ethics is a form of applied ethics that examines moral principles
concerning business environment involving issues about corporate
practices, policies, business behaviors, and the conducts and
relationships of individuals in the organizations.
 Search for Universal Values
• Evidently, there are quite a number of moral questions and problems
arising from globalization, that is, from global interdependence and
interconnection. To address these ethical problems, social scientists
and philosophers suggest that the time has come for the world to
develop a global ethic, that is, a set of universally accepted principles
that could provide the foundation for regulating global interactions.