
Once again, Ethics Alarms re-posts its ethics guide to Frank Capra’s 1946 masterpiece “It’s A Wonderful Life,”one of the great ethics movies of all time. It was written in 2011, and revised regularly since, including for this year’s version. I suspect we need it more in 2016 than usual.
It is fashionable now, and was even when the film was released, to mock its sentiment and optimism. On one crucial point Capra was correct, however, and it is worth watching the film regularly to recall it. Everyone’s life does touch many others, and everyone has played a part in the chaotic ordering of random occurrences for good. Think about the children who have been born because you somehow were involved in the chain of events that linked their parents. And if you can’t think of something in your life that has a positive impact on someone–although there has to have been one, and probably many—then do something now. It doesn’t take much; sometimes a smile and a kind word is enough. Remembering the lessons of “It’s a Wonderful Life” really can make life more wonderful, and not just for you.
Here we go:
1. “If It’s About Ethics, God Must Be Involved”
The movie begins in heaven, represented by twinkling stars. There is no way around this, as divine intervention is at the core of the fantasy. Heaven and angels were big in Hollywood in the Forties. Nevertheless, the framing of the tale advances the anti-ethical idea, central to many religions, that good behavior on earth will be rewarded in the hereafter, bolstering the theory that without God and eternal rewards, doing good is pointless.
We are introduced to George Bailey, who, we are told, is in trouble and has prayed for help. He’s going to get it, too, or at least the heavenly authorities will make the effort. They are assigning an Angel 2nd Class, Clarence Oddbody, to the job. He is, we learn later, something of a second rate angel as well as a 2nd Class one, so it is interesting that whether or not George is in fact saved will be entrusted to less than Heaven’s best. Some lack of commitment, there—then again, George says he’s “not a praying man.” This will teach him—sub-par service!
2. Extra Credit for Moral Luck
George’s first ethical act is saving his brother, Harry, from drowning, an early exhibition of courage, caring and sacrifice. The sacrifice part is that the childhood episode costs George the hearing in one ear. He doesn’t really deserve extra credit for this, as it was not a conscious trade of his hearing for Harry’s young life, but he gets it anyway, just as soldiers who are wounded in battle receive more admiration and accolades than those who are not. Yet this is only moral luck. A wounded hero is no more heroic than a unwounded one, and may be less competent as well as less lucky.
3. The Confusing Drug Store Incident
George Bailey’s next ethical act is when he saves the life of another child by not delivering a bottle of pills that had been inadvertently poisoned by his boss, the druggist, Mr. Gower. This is nothing to get too excited over, really—if George had knowingly delivered poisoned pills, he would have been more guilty than the druggist, who was only careless. What do we call someone who intentionally delivers poison that he knows will be mistaken for medication? A murderer, that’s what. We’re supposed to admire George for not committing murder.
Mr. Gower, at worst, would be guilty of negligent homicide. George saves him from that fate when he saves the child, but if he really wanted to show exemplary ethics, he should have reported the incident to authorities. Mr. Gower is not a trustworthy pharmacist—he was also the beneficiary of moral luck. He poisoned a child’s pills through inattentiveness. If his customers knew that, would they keep getting their drugs from him? Should they? A professional whose errors are potentially deadly must not dare the fates by working when his or her faculties are impaired by illness, sleeplessness or, in Gower’s case, grief and alcohol.
4. The Uncle Billy Problem
As George grows up, we see that he is loyal and respectful to his father. That’s admirable. What is not admirable is that George’s father, who has fiduciary duties as the head of a Building and Loan, has placed his brother Billy in a position of responsibility. As we soon learn, Billy is a souse, a fool and an incompetent. This is a breach of fiscal and business ethics by the elder Bailey, and one that George engages in as well, to his eventual sorrow. Continue reading →
By fortune’s smiles, I was able to finally meet Charlie last week face to face, as he kindly alerted me that he would be passing through my neighborhood. Finally having personal contact with an Ethics Alarms reader is always a revealing and enjoyable experience, and this time especially so. I think you would all enjoy Charlie; I certainly did. Maybe I need to hold an Ethics Alarms convention.
Here is his Comment of the Day on the post, Comment Of The Day: “No, Insurance Companies Treating People With Pre-Existing Conditions Differently From Other Customers Is Not ‘Discrimination’.”
…The claim that “a free market system” and “freedom of choice” is the solution to all that ails us is a mindless mantra that is only occasionally true, but not always.
It’s important to be clear about when free market solutions are good, and when they are not. It’s not all that hard to sort out. Basically:
Free market solutions ought to be the presumptive default. Unless there is good reason to the contrary, they ought to be the rule.
1. Exception Number 1: Natural monopolies. It makes no sense to have competition for municipal water supplies; airports; multiple-gauge railroads; fishing grounds; groundwater; or police departments. The basic reason is the putative economic benefit is either simply not there, or is absurdly overwhelmed by the social confusion engendered by multiple suppliers.
In these cases, a form of regulated monopoly is desirable. (By the way, the airline industry at a national level is precisely this kind of market; we do not have too little competition there, but too little regulation).
2. Exception Number 2a: Wallet-driven market power monopolies. It’s strategy 101 in business schools that the way to be successful is to be #1 or #2, and the best way to do that is to get more market share than your competition, so you can drive them out of business. The one guaranteed way to do that is to cut prices so low that no one else can compete. Think Walmart. Think Amazon. Think Japanese in the 60s and 70s in any industry.
The reason we have anti-monopoly laws is to reset the playing field when a competitor dominates the market too strongly.
3. Exception Number 2b: Product-driven market power monopolies. Where the product is so obscure, expensive, infinitely variable, and difficult to understand that the producers are de facto in control, because it is too confusing and too dangerous to challenge them.
Drug prescriptions are an interesting example. The ‘free market solution’ to high drug prices was (partly) to let drug companies advertise, and to loosen up the definition of what constituted a ‘new’ drug. What did we get? New diseases like RLS, new definitions of ‘new’ (moving ‘off label’ to ‘on label’) and even higher drug company profits. Because who’s still going to argue with your doc? Especially when he or she gets side benefits from giving in to the latest DTC ads on network news programs?
Continue reading →