Investment and Portfolio Analysis Essay Example | Topics and Well Written Essays - 3000 words - 1

Investment and Portfolio Analysis - Essay Example 102-103). Such the yields are available for the public. For instance, one can easily find them on the Internet. The characteristics of a bond determine timing and values of associated cash flows. Therefore, an investor can easily discount all cash flows associated with a bond to figure out fairly good estimate of its value. As for the common stocks, the company that issues the stock can invest some portion of its earnings in projects in hope to increase the value of the firm. The rest of the earnings is distributed among the shareholders in the form of dividends. Unfortunately, â€Å"the details on forthcoming projects are not generally public information† (Ross, Westerfield and Jaffe 1999, p. 109). Therefore, the patterns of cash flows shareholders receive are not known in advance and can be much more complicated than those bondholders receive. However, a number of techniques for stock valuation were developed. All of them need as input â€Å"investor’s required retur n on the stock† and â€Å"growth rate† of one or several indicators of companys performance such as "dividends, earnings, cash flow or sales" (Reilly and Brown, 2003, p. 377). To estimate the first input, investors can use the return of a common stock of the respective class and rating as a useful benchmark (Haugen, 1979, p. 68). Due to above mentioned complexity, accompanied by the fact that the guarantees to the investors in common stocks differ from the ones to the investors in bonds, sometimes these inputs can be estimated only roughly. Moreover, their uncertainties can turn out to be â€Å"too large to be practical† (Ross, Westerfield and Jaffe 1999, p. 111). Thus, generally investors produce better estimates of bond values than those of common stock ones. To identify appropriate investments, portfolio managers figure out a set of â€Å"marketwide and industrywide factors† that makes unsystematic risks of

Type of business, purpose and ownership Essay Example for Free

Type of business, purpose and ownership Essay Sainsbury’s Sainsbury’s is the UK’s most long standing major food retailer, having opened its first shop in 1869. Sainsbury’s brand is built around providing fresh and tasty food for its customers. It differentiates itself from other supermarkets by offering a broad range of products at a great price, a strong ethical approach to business and continuous leadership. The size of Sainsbury’s consists of 504 supermarkets and 309 convenience stores. A large Sainsbury’s produces over 30,000 products. Sainsbury’s is currently in the tertiary and secondary sector, this is because Sainsbury’s provides services (through banks), sell goods and own their own farm. Their purpose is to exceed customer’s expectations for fresh and healthy food, making their lives easier every day. Sainsbury’s ownership is the public limited sector because it sells its goods on the stock exchange. Sainsbury’s key stakeholders are: Customers: They want a company to produce products that meet or exceed their needs, they would like to see improvements Employees: They want the company to provide them a source of revenue; they seek security for employment, promotional opportunities and good rates of reward Suppliers: Want stable instructions and punctual payments. They want to be valued by the company they work for. RSPCA RSPCA stands for Royal Society of Prevention of Cruelty to Animals. The vision of RSPCA is to work in a world that humans respect and live in harmony with the natural world. RSPCA first begun in 1824 as society for prevention of cruelty to animals. It total profit is funded by donations and legacies. Local inspectors were appointed and people promised to donate  £20 pounds towards their inspectors. This has created 172 branches in English and Wales. In addition to the branches, there is one charity run by an animal trust and the other is run by a charitable company. RSPCA is currently in the tertiary sector as they provide services for animals that need to have health checks. Their purpose is to provide animals with special needs a loving home. RSPCA is categorised into a charitable trust, this is to raise funds and support them for good causes. RSPCA’s key stakeholders  are: Employees: The employees will be happy to work on a charitable basis and also need to be caring fo r the animals in need. Government: The government wants RSPCA to be successful, it would like to see prosperous business that take full responsibility in welfare of society Local and National communities: The actions of the business has a remarkable outcome on the communities, the communities therefore represent interest groups. Summary: The main differences between Sainsbury’s and RSPCA is that Sainsbury’s sells products like food and clothes for money and services , while RSPCA provide services that raise money for the services they provide for example they ask people to donate money to help animals in need The main similarities are Sainsbury’s and RSPCA are in the same sector because Sainsbury’s provide services like banking to people who can’t come to their shops to buy their shopping. RSPCA provide a service that look after animals and give them medical treatment

The brander-krugman model

The brander-krugman model Extended Essay 1 The Brander-Krugman model, also known as the reciprocal dumping model, explains the possibility of international trade in a homogenous good. In doing so, it raises an interesting issue: is this apparently pointless trade socially beneficial? Meanwhile, Corden developed a more realistic customs union (CU) theory compared to orthodox theory by relaxing the assumption of constant marginal costs (MC). While the framework of these two models are similar, their conclusions are very different, the reasons for which are discussed further below. a) Both models are set in a partial equilibrium framework; the prices of all substitutes and complements of the good in question are assumed to be constant, as are the income levels of consumers, allowing for an easier analysis of welfare gains from the formation of the customs union (CU). Within this framework, there is a single producer in each of the CU countries that produces a homogenous good. The other similarity between the two models is that the tariffs set and faced by both countries (Home (H) and Partner (P)) before CU formation are equal .Thus, when the union is created a Common External Tariff (CET) already exists. Corden develops his model in further stages to include made-to-measure tariffs so that the CET has to be set upon CU formation. It is assumed that this will be set lower than the original tariffs that were imposed. The countries forming a CU in Cordens model are small relative to the rest of the world (R), implying that its formation will have no effect on world prices. In the Brander-Krugman model, all three countries (R is represented as one country) are identical in size. Symmetry is assumed between the firms in the Brander-Krugman model therefore the firms in each of the countries face the same constant marginal cost and domestic demand functions, contrary to Corden. Corden relaxes the assumption of constant marginal costs (MC) that is held in orthodox customs union theory, and assumes instead that the firms benefit from internal economies of scale and thus face declining marginal and average cost (AC) curves. Figure 1 shows that the minimum point of the firms AC curves is above the price paid for imports (pm). Hence a tariff is necessary to protect domestic production, which is set at T- pm and prevents R from importing to H and P. The domestic price being equal to the firms AC, they operate at a normal profit. The price received for exports (px) is assumed to be lower than pm as H and P also face tariffs. Therefore, their AC is greater than px and so they cannot export their goods either. Thus, unlike in the Brander-Krugman model, there is no international trade prior to CU formation. The main characteristic of the Brander-Krugman model is that the firms display Cournot behaviour the firms make decisions about their own output levels to maximise their profits assuming that the output levels of the other producers will not change[1]. This is not necessarily the case in Cordens model. b) The existence of internal economies of scale in Corden means that efficiency and welfare gains could be increased if a single firm increases its output and captures both markets following CU formation. This, along with the assumption that the firms face different cost functions, leads to the conclusion that the firm with the higher AC will exit the market and import the good from the firm that can produce it at a lower cost (this essay will assume that the partner firm exits the market). The assumption that the partner firm operated at a normal profit pre-CU indicates that there will be no loss of producer surplus and no welfare loss in P as it exits the market. Conversely, the symmetry between the firms in Cournot means that neither firm in the CU has a cost advantage over the other. Thus, both the home and partner countries benefit from CU formation by increasing trade with each other, resulting in an increase in output for both firms (Appendix, equation (1)). Although H and P have increased their overall output, the quantity they supply in each of their domestic markets decreases (equation 2). Although there is an overall gain in welfare in both models as a result of CU formation, the source of these gains differ. Both the home and partner countries experience a welfare gain from CU formation in Cournot given the symmetry, whereas only the home country benefits in Corden as the partner firm exits the market. In Cournot, the price falls in the markets (equation 3) and thus the welfare gain is largely reflected by an increase in consumer surplus (equation 4) in both the home and partner markets. The countries also lose welfare through a fall in tariff revenue (equation 5) and the firms profits may rise or fall depending on the elasticity of the aggregate demand in the CU (equation 6). However, Hs overall welfare gain is shown to be always positive (equation 7). In Corden, the assumption that the home and partner countries are small compared to the rest of the world implies that the CU firms are not large enough to compete with the outside firm and therefore the CU formation will not affect world prices. This, along with the assumption that the remaining firm within the CU maximises his profit by charging right up to the import-preventing price, which is the world price plus the CET, means that the price will remain unchanged. Thus, the increased welfare is due to an increase in the remaining firms producer surplus (figure 1, a+ß) as the fall in average cost (to J, figure 1) is not passed onto consumers. However, if made-to-measure tariffs are assumed and the CET is lower than both the initial tariffs, a price reduction will be induced in both countries and some of the welfare gain will be passed onto consumers. The symmetry in Cournot and differentiation in Corden also lead to different conclusions with respect to the impact on the rest of the world. In Corden, the CU formation does not affect Rs welfare under the assumption that there was no international trade pre-CU and there is still none post-CU. In Cournot, the fall in Rs output (equation 8) and the price drop in H and P impact negatively on the R firms profits (equation 9). As consumption and imports in R remain unchanged, Rs welfare is reduced. The main assumptions that lead to the different conclusions are those of symmetrical costs in Cournot and differentiation in Corden. This affects how the welfare gains are divided amongst the countries as well as how they are split between the producers and consumers. c) In discussing the appropriateness of the models to the EU situation, the relevance of the assumptions and the predicted results, and how the causes of these results compare with reality need to be considered. There are many studies that analyse how EU integration has affected trade flows in terms of trade creation and trade diversion. Trade creation is defined as intra-EU imports replacing domestic production; trade diversion as EU imports replacing imports from the rest of the world. By 1992, bilateral trade between any two EC countries was 65% higher than if the EC had not existed, supporting both models predictions that trade between the home and partner countries increases.[2] Over the period from 1959/60 to 1977, which includes both stages of integration for the EC and EFTA countries, annual trade creation was estimated at $20-31 billion and trade diversion at $5-8 billion.[3] This affirms the Cournot prediction that the partner firm would increase its imports to the home country at the expense of both domestic production and imports from the rest of the world. A study by the Single Market Review on the impact of the Single Market Programme (SMP) on trade creation and trade diversion gives a detailed insight into the relevance of the Corden and Cournot models to the EU situation.[4] Its data and analysis focuses on industries within the manufacturing sector, particularly the 15 industries that were likely to be particularly sensitive to the SMP.[5] Although there are some industries close to perfect competition with a concentration ratio of 0.00 or 0.01 such as clothing and boiler making most industries within the EU are relatively oligopolistic according to their average concentration ratios. The assumption of perfect information is unlikely to hold true. In many economic theories where this is assumed, it is highly unrealistic, especially with regards to the reactions of a firms competitors to the union formation. While Cournot assumes that firms face a constant MC, a 50% reduction in output from the minimum efficient scale of output led to an increase in AC, and therefore MC, in all the industries analysed, thus indicating the presence of economies of scale. The assumption that all firms display Cournot behaviour does not always hold in the context of the EU. Through a comparison of the changes in the price-cost margins and in the home firms market share in the domestic industry, it is evident that industries reacted in two very different ways. One group, including office machines and pharmaceutical products, experienced large cuts in their price-cost margins and a relatively small change in their market share, while the opposite is the case for the other group. It appears that the first group decided to reduce its prices instead of losing market share, implying that some firms do not compete on output but on price. However, the effect of changes in competitive behaviour by firms on market shares was extremely small for most industries and countries, though it was usually more important in the smaller EU countries.[6] Thus, changes in firms behaviour are relatively insignificant in affecting market shares, compared to other factors. The assumption of symmetrical firms is, again, an unrealistic one. Given that the country sizes within the EU are very different, it is highly likely that firms across the EU faced different market sizes and domestic demand functions before integration, and as a result, they are unlikely to be the same size or have the same cost functions. In terms of the impact of the CU formation on the industries, most of the results predicted in Cournot hold true from 1900-94, the period examined in this SMR report. The price-cost margins in the 15 sensitive industries fell by an average of 3.9%, while they fell by 3.6% in the manufacturing sector as a whole. The extent of this drop in each industry depends on the behaviour of the firms. The impact of the SMP on the respective market shares in the manufacturing sector as a whole is negative for the home industries, and positive for both the EU and the rest of the worlds market shares in the home country. Cournots model correctly predicted that the home firm would sell more while the partner firm would sell less in the home market. However, it predicts that the rest of the worlds share of the home market would fall. The SMR carried out two ex-post simulations; one with no direct external trade effects and one with. All of Cournots predictions regarding changes in the market shares hold true for the former simulation. However, the latter simulation is more accurate in reflecting the actual changes in market shares that were experienced over this integration period. This implies that the Cournot model does not take into account the increasing liberalisation of external trade over this period that also led to a reduction in extra-EU trade costs, either as a result of the CU formation or due to increasing globalisation. In terms of welfare, the changes support Cournots prediction that welfare increased in both H and P. The change in welfare measured as a percentage of GDP was greater than the percentage change in GDP in each of the EU countries analysed. The main goal of creating the single market in the EU was to increase its competitiveness with respect to large economies such as the USA through economies of scale. This implies that Cordens model should offer a more accurate picture of the EU. However, certain assumptions do not reflect the EUs characteristics. The assumption that the CU-forming countries are small may hold true for some of the EU countries; however, the implication of this that the customs union will be unable to affect world prices may not hold. Given the size of the EU, it is large enough to compete with the large economies such as the USA and Japan. Cordens predictions regarding changes in price and market shares are not appropriate to the EU situation, due to the strong assumptions that there was no international trade prior to the formation and thus no trade with the rest of the world after. Also, with the partner firm exiting the market, it is assumed that there is no increase in competition following CU formation, thus no change in the prices. However, there is evidence supporting the main conclusion of this model that the welfare gain is a result of restructuring, which leads to increasingly concentrated industries as firms can benefit from economies of scale as the size of the market that they have access to increases. Between 1987 and 1993, the four-firm concentration ratio increased by 2.3% across 71 industries in the EU.[7] This was partly due to increased restructuring; between 1987 and 1990, the percentage of MAs involving countries from two different member states jumped from 9.6% to 21.5% in anticipation of the Single Market. This replaced MAs within country borders which fell from 71.6% to 60.7% over the same period.[8] While it is true that EU industry concentration has increased, this is cannot be attributed solely to an expansion in the market size. Many industries already operated internationally in the 1980s and hence, a market size expansion would not have had as big an impact on the concentration level. The single market also led to a reduction in non-tariff barriers (especially barriers to entry) between EU member states, through public procurement liberalisation, increased ease of cross-border knowledge transfer and the free movement of capital. Cordens comparative static model fails to take into account the dynamic effects of EU integration. The aim of the SMP was much more ambitious than a mere elimination of the tariff barriers and thus both theories, which focus on the effects of a CU, are too simplistic to be wholly appropriate. Certain aspects of both models are comparable to the EU situation. However, Cordens model seems to be more suitable; while Cournots results regarding changes in the prices and respective market share were more accurate, Cordens underlying characteristics are much more appropriate to the current EU situation. 1 Friedman, James (1983), Oligopoly Theory, Cambridge University Press Frankel (1997) (Ali El-Agraa P175) Kreinin (1979b) (Ali El-Agraa P175 European Commission/CEPR (1997) Trade Creation and Trade Diversion, Subseries IV/ volume 3 of The Single Market Review Buigues, Ilzkovitz and Lebrun (1990) EC/CEPR, 1997, Trade creation and trade diversion Subseries V, Volume 4, Economies of Scale AMDATA in European Economy (1999)

Nazism :: essays research papers

Nazism was the ideology held by the National Socialist German Workers Party (Nationalsozialistische Deutsche Arbeiterpartei, commonly called NSDAP or the Nazi Party), which was led by its "FÃ ¼hrer", Adolf Hitler. The word Nazism is most often used in connection with the dictatorship of Nazi Germany from 1933 to 1945 (the "Third Reich"), and it is derived from the term National Socialism (German: Nationalsozialismus, often abbreviated NS). Adherents of Nazism held that the Aryan race were superior to other races, and they promoted Germanic racial supremacy and a strong, centrally governed state. Nazism has been outlawed in modern Germany, yet small remnants and revivalists, known as "Neo-Nazis", continue to operate in Germany and abroad. Originally, Nazi was invented by analogy to Sozi (a common and slightly pejorative abbreviation for socialists in Germany). The original Nazis from the era of the Third Reich probably never referred to themselves as "Nazis" and generally always as "National Socialists", since Nazi was most commonly used as a pejorative term. Currently some Neo-Nazis also use it to describe themselves. There is a very close relationship between Nazism and Fascism. Since the term Nazism is normally used to refer to the ideology and policies of Nazi Germany alone, while Fascism is used in a broader sense, to refer to a wider political movement that exists or existed in many countries, Nazism is often classified as a particular version of Fascism. According to Mein Kampf (My Struggle), Hitler developed his political theories after carefully observing the policies of the Austro-Hungarian Empire. He was born as a citizen of the Empire, and believed that ethnic and linguistic diversity had weakened it. Further, he saw democracy as a destabilizing force, because it placed power in the hands of ethnic minorities, who he claimed "weakened and destabilize" the Empire, by dividing it against itself. The Nazi rationale was heavily invested in the militarist belief that great nations grow from military power, which in turn grows "naturally" from "rational, civilized cultures." Hitler's calls appealed to disgruntled German Nationalists, eager to save face for the failure of World War I, and to salvage the militaristic nationalist mindset of that previous era. After Austria's and Germany's defeat of World War I, many Germans still had heartfelt ties to the goal of creating a greater Germany, and thought that the use of military force to achieve it was necessary. Many placed the blame for Germany's misfortunes on those, such as Jews and communists, whom they perceived, in one way or another, to have sabotaged the goal of national victory, by obtaining a stranglehold on the national economy, and using the nation's own resources to control and corrupt it.

Recruiting, Selecting, Orienting, and Training

| |Recruiting |Selecting |Orienting |Training | | | | | | | | | | | | | | |Company’s Web site |Job interview by human resources |Explanation of the |Apprenticeship training | | | |department |organization’s levels of | | | | | |authority | | | | |>>Interested applicants will be | |>> A supervised training and | | |>>Most large companies have their |interviewed as initial screening |>>A large company organization |testing of a new employee is very | | |own websites which usually |by the human resource department. |usually has the hierarchy of |common in large companies. Some | | |includes a section for job |Prescreened applicants will go |the authorities. The new |large companies even require | | |opportunities. Online job |through supervisor’s interview for|employee must be aware of the |apprenticeship training as a | | |application has become a popular |selection. The interview will be |certain level of authority and |requirement prior to signing of | | |method of recruitment. Interested |either a structured where the |the organization. This is |the work contract. An employee is | | |applicants who meet the |questions re prepared or |usually done by the human |trained and tested for a specified| | |requirements can post an |unstructured interview where |resource department or a |minimum period of time until the | | |application and the specified |random questions are often asked. |representative from the higher |desired work skills are achieved. | | |requirements. The human resource | |authorities. An employee who fails to show | | |department may choose or contact | | |satisfactorily may possibly be | | |the candidates for screening | | |disqualified from the job. | | |interview and list candidates for | | |Training is usually carried out by| | |final interview by the supervisor. | | |designated personnel in | | | | | |coordination with human resources | | | | | |department. | | | | | | | | | | | | | | | | | | |Large company | | | | | | | | | | | | |Class ified ads in newspaper |Job interview by immediate |Rules, regulations, policies, |Computer-assisted instruction | | | |supervisors |and procedures |(CAI) | | |>>Classified ads are frequently | | | | | |used by large companies as a |>>Pre-screened qualified |>> Large companies have a set |>> Computer assisted instruction | | |recruitment tool. The human |candidates will be interviewed by |rules, regulations, policies, |is similar to programmed | | resource department gets in |the supervisor for final |and procedures which is very |instruction but in more modernized| | |contact with certain newspapers to|employment decision. Immediate |important for any new employee |technology. Materials and | | |post the vacant post with few |supervisors are usually involved |to know. This usually is given |processes and relevant | | |details of the required employee |in final hiring of prospective |priority during the orientation|instructions are computer-based | | |to fill in the vacancy. |applic ants subject to approval of |period as any employee needs to|where the new employee are | | | |the higher authorities. work according to the company’s|required to read and review the | | | | |standards and in accordance to |instructions and answer the | | | | |the set guidance. |related questions after looking at| | | | | |the materials. Some | | | | | |computer-assisted instructions are| | | | | |sometimes internet-based. This | | | | | |instruction is done by human | | | | | |resource department or designated | | | | | |personnel. | | | | | | | | |State or private employment |Screening by state or private |Skills training |Classroom training | | |agencies |employment agency | | | | | | | | | | |>>Some large company gets in | | | | |>>Many large companies use |contact with state or private |>>Large companies follow their |>> Classroom training which is | | |employment agencies to hire for |employment company for hiring a |set standards and the |common in large companies is | | |needed employee. Employment |staff who is already prescreened |accomplishment of these is only|usually a continuation of | | |agencies have their screening |based on agency tools. Human |achieved if the employees use |orientation. It includes lectures,| | |method for choosing skillful |resource department gets in |their skills accordingly. To |exercises, visual presentations, | | |applicants. The human resource |contact with th e agency to hire an|ensure accomplishment of the |and skills enhancement activities. | |department gets in contact with |employee which is usually placed |company standards, though the |The human resource department | | |employment agencies to bring in |on temporary contract terms. |newly hired staffs are |usually organizes the training | | |some of the prescreened skillful | |skillful, skills training |with coordination of related | | |employees. | |remain a basic part of |department and designated | | | | |orientation. Skill training is |personnel. Some part of | | | | |usually done by the education |orientation program, | | | | |or staff development department|apprenticeship training, and other| | | | |in collaboration with the human|related program such as safety | | | | |resource department. |program are usually incorporated | | | | | |in classroom training. | | | | | | | | | | | | | |Job postings within the company |Employment tests |Job functions and |On-the-job training(OJT) | | | | |responsibilities | | | |>>This is usually done by human | | |>>On the job training is usually | | |resource department posting the |>> Employment tests which is also |>> Small companies usually have|implemented by small companies | | |details of the requirements for |conducted by large companies, is |short and simple orientation |especially when no formal training| | |the vacant post. Interested |commonly used by small companies |program for the new employees. |is offered by a company. | | |applicants will then contact the |as well. The test is usually given|Rules and regulations are |On-the-job training is simple and | | |human resource department for more|by company supervisor if human |usually not exhaustive and |is usually done by designated | | |information and application |resource department is not |orientation requires very basic|staff as the mentor of the new | | |requirements. |available. The results of the test|things. Job functions and |employee or by the supervisor | | | |will take a part in hiring |responsibilities however are |himself/herself. Any regular staff| | | |decision. |usually among the main |can also do the on-the-job | | | | |priorities in orientation. |training through accidental | | | | | |teaching while at work. | | | | | | | | | | | | |Small Company | | | | | | | | | | | | |Employee referrals |Employment applications |Introduction to fellow workers |Job rotation, or cross-training | | | | | | | | | |>> Employment application is a |>>Working in small companies |>> Job rotation or cross training | | |>> Employee referral is very |universal tool used by all |requires establishment of good |is a very common training practice| | |common in small company |companies. The small companies |rapport among all the workers. |in small companies, though it is | | |recruitment. Trusted employees |particularly those with limited |Introduction of a new employee |also observed in large companies. | |usually spread out the news of job|facilities largely depend on |to fellow workers is much |Job rotation maybe on monthly, | | |vacancy to any of his /her |written employment applications |highlighted in small companies |bimonthly or at any specified | | |contacts and recommend a |along with other required |as compared to large companies. |period basis. Job rotation and | | |prospective candidate to the |employment certificates. |It is not surprising for small |cross training is usually aimed at| | |employer. A major drawback on this|Applications are usually reviewed |company to throw a welcome |developing staff that can be | | |process s that referrals are |by company supervisor or human |party to a new employee during |placed at any job that has staff | | |sometimes not based on skills or |resource department if available. |the formal introduction. |deficiency such as during any the | | |what they know but on who they | |Introduction is usually done by|absence or leave of some s taff. | | |know. | |the department head or a | | | | | |designated staff. | | | | | | | | |Job bidding |Resumes |Benefits and compensation |Programmed training | | | | | | | | | | |>> Small companies may or may | | | |>>Job bidding is very common in |>>Resume which is also universally|not state the benefits and |>> Programmed written instructions| | |small companies mostly based on |required by most companies large |compensation in the written |are usually provided to new | | |seniority, job skills, and other |or small, is often one of the main|contract. The details of the |employee. A time is provided for | | |qualifications that give certain |bases of small companies in |benefits and compensation are |the new employee to read and | | |employee advantage over the |selection of applicants. Small |therefore usually included as a|review all the instructions in | | |others. Senior and highly |companies are usually not |part of orientation. This is |materials provided. A programmed | | |qualified employees usually bid |exhaustive in conducting |usually done by the company |training is usually done by the | | |for higher vacant positions. interviews and most of the time |supervisor or human resource |company supervisor or designated | | | |after careful review of resume |department if available as part|personnel. The employee considered| | | |with the supporting documents, |of orientation. |to be on training will be required| | | |applicants are chosen for final | |to answer questions based on the | | | |interview. | |materials provided thereafter. |

Utilitarianism, Deontology and Virtue

Anthony B. FieldingUtilitarian, Deontological, and Virtue ethics The concept of utilitarianism is closely related to the philosophy of consequentialism. Basically this means that the moral and ethical value of a person’s action should be judged by the consequence of that action. Utilitarianism is believed to be the most important of the three ethical theories because it has helped shape our world’s politics, economics, and public policy. This ethical theory explains to us that we can determine the ethical significance by judging the consequence of that act.So basically I understand utilitarianism as; what is good for the majority is just and that happiness is the ultimate goal. An example of my own would be; the utilitarian would say that if six people were trapped on an island, two adult males and four small children with enough food to last two days if they all ate, but if the men did not eat, there would be enough for the children to eat for a week, it is ok for two men to starve to death if it meant that four children would live long enough to be rescued.Bound by our duties, walk the walk, and practice what you preach, the deontologist’s view of ethics. Contrary to utilitarianism, deontology says that there are some things that we should or should not do regardless of the consequence. Law enforcement officers wear a badge of honor ‘To serve and protect. ’ This motto is definitely one that describes deontology. Another popular slogan we hear is â€Å"Be all you can be. † This duty is demonstrated by our U. S. Army. A bodyguard’s duty is to protect his employer to the extent of endangering his own life.Virtue ethics questions how we should live our lives. A person is judged by his character and not by the actions he may uncommonly choose. Character building takes a lot of work. Character is introduced to us at a very young age by many sources, parents, grand-parents and teachers just to name a few. To me, virtue ethics can be confused as ‘do as I say and not as I do. ’ A person that practices virtue ethics may work for a company that sells automatic machine guns, but teach in his home that guns are bad.