Final Exam Study Guide

The final will consist only of multiple choice questions. There will be 85 of them. As before, they will cover the required readings as well as material presented in class.

Although all of the material from the course is fair game, here are some areas that you should focus your studying on:

Topic 6: Worker Rights

As I noted in class, I am relying heavily on Shaw to provide you with the bulk of information about this topic. You should know the main provisions of the main laws that govern worker rights and discrimination (ADA, Civil Rights Act, Employee Polygraph Protection Act, OSHA, the Wagner Act/NLRA, etc.) Shaw’s text goes through a vast array of court cases, especially in the chapter on discrimination. I will only hold you responsible for the most important of them, including Brown v. Board of Education, Bakke, Griggs. You should understand the difference between the two forms of sexual harassment. You should understand both sides of the debate between those who favor and those who oppose granting greater worker rights to privacy and free expression and the (related) debate over whether employment at will should be limited more than it is right now. You should know the material about MacGregor’s theory, alienation, and QWL programs. You should be familiar with the arguments for and against labor unions.

Topic 7: Obligations to the Company

You should understand the nature of the agency relationship and the relationship between legal and moral duties associate with this relationship. You should know the various duties that agents and principals owe to each other. (Most of this information was presented in class; my presentation draws heavily on the presentation of the law of agency as described in the chapter in the Primis Supplementary Materials titled "The Agency Relationship." I will not ask you detailed legal questions, but I do want you to be familiar with the "spirit" of the law of agency. You are not responsible for knowing any of the legal cases in this chapter, or anything about how agency relationships are formed or terminated. You also do not have to know what an "agency at will" or an "agency coupled with an interest" are.)

You should also know about various kinds of violation of the duties that go along with the agency relationship. For example, you should know about various forms of conflict of interest (potential, actual, apparent), why the are considered unethical, and how to recognize them. You should understand what makes bribes and abuse of power unethical. You should understand what insider trading is, and the various theories about its moral status, and the difference between primary and secondary insider trading. Additional legal material about insider trading appears in the Primis Supplement ("Securities Exchange Act of 1934). Here again, the goal in this course is for you to understand the moral reasoning behind the laws concerning insider trading rather than having you learn all the details of the letter of the law (a fine thing to do, but one better done in a business law class).

Finally, you should understand the key points of the discussion of whistle-blowing. This is discussed in Shaw. The Primis Supplement has two articles on it for additional information, but I will not ask you specific questions on either of them. However, you should know the gist of the discussion in the second article, by Gene James, in the section called "the moral justification of whistle-blowing," which begins on page 160. (The section on "Factors to Consider" in that same article (beginning on page 165) is also worth a look.) You should also know the nature, outcome, and significance of the Milgram experiments (which I will discuss in class. In general, you should understand the limits of the fiduciary duty of loyalty, and why those limits exist.

Topic 8: Product Safety

Generally, I want you to have a good grasp of how our society’s ideas about the responsibility of manufacturers for the safety of their products have evolved over time. This evolution has taken place through the evolution of products liability law, and so I want you to understand (1) the basics of how this body of law has changed over the course of the 20th century and (2) the moral reasons that help to explain WHY those changes happened. You should be familiar with the key court cases (including Winterbottom v. Wright, MacPherson v. Buick, Greenman v. Yuba, and Henningson v. Bloomfield) that shaped this evolution, and how moral ideas about fairness, benefit to society, and responsibility were expressed through them. (I will not expect you to remember anything about the facts of the cases.) You should understand the key ideas of privity, strict liability, warranty, and caveat emptor. You should understand the rationale that courts gave for the caveat emptor approach to product liability, and for the later strict liability approach. This material is covered briefly in Shaw, and I will cover it in more detail in class. You should know the main issues raised in the documentary, Rollover, which we will view in class.

Topic 9: Advertising

You should know the main arguments presented in the articles (in the Primis Supplement) by Galbraith and Hayek. You should have a grasp of the general worries that many critics have about advertising (especially non-informational forms). If you have not studied advertising and how it functions in some other class, then you should pay particular attention to the discussion of this in Shaw (in the section called "deceptive techniques"). In class, we will view a video called "Affluenza," and you should understand the main points that it makes.

Topic 10: The Environment

Although it is fair game, the assigned material from Shaw will not be heavily emphasized on the exam, and it will focus on general ideas rather than specific details. For example, you should probably be familiar with how the Tragedy of the Commons relates to the environment (I think this came up already when we discussed the market). In addition, you should understand the idea of sustainable development (I’ll cover this in class) and the connection between the issue of advertising and the environment as presented in the video "Affluenza".

Other

Although the exam is not "directly" cumulative, I do expect you not to have forgotten everything from the first half. For example, I would expect you to remember the main themes of balancing values, integrity, tunnel vision, "abstract greed," the two main theories of corporate social responsibility, etc. Some questions may require you to remember key ideas from the first half. You should also remember the 12 moral principles. (I will not test you on these directly, but they form the cornerstone of one of the main goals of the course, namely, to help you understand WHY certain things are illegal and/or considered to be unethical.) Also, I would expect you to have at least a passing familiarity with the various government agencies that have been mentioned in class or the readings (e.g., the SEC, EEOC, FTC, FDA, etc.).