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June 25, 2014
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Social and economic inequalities are to be arranged so that they are both: a) reasonably expected to be to everyone's advantage and b) attached to positions and offices open to all.
Rawls suggests that we imagine ourselves in an original position behind a veil of ignorance.
One suggestion that can be used to determine the CEO compensation using the Rawlsian veil of ignorance is compensation should be restructured to ensure that managers are aware of the value of their compensation without any knowledge of the details of their compensation...
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With this system managers will have to decide what the right decision for shareholders. This uncertainty will force them not to choose investments, mergers, and accounting decisions based on their personal objectives.
Virtue ethics concerned with the character or attributes of a person that allow that person to “best” perform their role (as director, executive or otherwise) and how they treat their employees...
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