Discussion:
Q: You are the managing director of your U.S. firm's subsidiary in southern France. The social-welfare states of Western Europe were founded after World War II with specific ethical considerations in mind: reduce social and economic inequality, improve living standards for the poor, and provide nearly free health care for all. Now many of these countries have trimmed social-welfare provisions and increased their reliance on market forces.
Answer the following questions:
Do you think that the ethical concerns of half a century ago are a thing of the past? Or do you feel that market reforms will simply re-create the conditions that motivated the development of the welfare state in the first place?
What can you do as a manager to alleviate workers' fears that a more open economy will reduce their social safety net?