Thomas DiLorenzo writes an article in which he explains that those teaching business ethics tend to emphasize a few bad apples which implies that all businessmen are corrupt. What’s wrong with greed, he says. We’ve always had it. The real problem is with government.
Okay, I get tired of this. I never teach that all businessmen are corrupt but I strongly suggest that those that are do incredible damage to this country and I can prove my point.
There are a lot of things like greed and pride and avarice and sloth, but that they’ve been around a while doesn’t mean they are acceptable.
I have to notice that the American economy (and the world economy) were nearly destroyed by Mr. DiLorenzo’s “greed.” I do not believe that the government is the source of all evil and I have more faith in an organization in which the American People have some kind of input (not as much as I want) than a giant financial company with a proven record of manipulation, overpayment and use of government influence to protect itself from the actual economic consequences of its misbehavior.
I am a business ethics teacher. That’s a lot more than a apologist for corporate malfeasance and a radical who has discovered the source of evil as American self government.
James Pilant
Pilant's Business Ethics Blog 
Mr. DiLorenzo writes “Dishonest business people will be punished financially as customers cater to their competitors while suppliers refuse to do business with them. In cases of negligence, such as the BP oil spill, chief executives often lose their jobs, the company is sued, and the firm’s stock price plummets, as was in fact the case with BP. Such market feedback mechanisms do not guarantee ethical behavior, but they do reward it with customer loyalty – and profits. No such feedback mechanism exists in government, which is where much larger ethical problems exist.”
This is the usual nonsense we hear from the teabaggers and other blame-the-Democrats-I-mean-government right-wingers.
No, customers are not watchdogs. They buy for complex reasons that have little to do with the ethics of merchants. Likewise, suppliers sell to anyone.
As far as malfeasance, BP will continue to make huge profits long after the gulf spill is forgotten. Sure, a few people will lose their jobs, probably fewer than lost their lives in the explosion, and stock prices will rebound. Those who are intelligent enough to invest for the longterm will barely notice the stock dip.
It is in government where the people do have a feedback mechanism – their votes. Unfortunately, in the American two-party system, greedy capitalist are able to have more influence on government than the voters. Mr. DiLorenzo is one of those who would like to see more corporate influence on government. I believe that Benito Mussolini called the marriage of government and corporations fascism.
To suggest that capitalism and government are disjoint in America is disingenuous. To suggest that greed in capitalism is of no concern is downright evil.
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You haven’t objected in the past, so I’m just going to post this as a new blog entry. If you have a problem, tell me and I’ll pull it. jp
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