Tag Archives: commerce

Is It Good That Money Can Buy (Almost) Anything?

Money is a curious invention. It enables efficient and almost frictionless commerce and it allows us to assign tangible value to our time. Yet it poses enormous societal challenges and ethical dilemmas. For instance, should we bribe our children with money in return for better grades? Should we allow a chronically ill kidney patient to purchase a replacement organ from a donor?

Raghuram Rajan, professor of finance at the University of Chicago, reviews a fascinating new book that attempts to answer some of these questions. The book, “What Money Can’t Buy: The Moral Limits of the Market” is written by noted Harvard philosopher Michael Sandel.

[div class=attrib]From Project Syndicate:[end-div]

In an interesting recent book, What Money Can’t Buy: The Moral Limits of the Market, the Harvard philosopher Michael Sandel points to the range of things that money can buy in modern societies and gently tries to stoke our outrage at the market’s growing dominance. Is he right that we should be alarmed?

While Sandel worries about the corrupting nature of some monetized transactions (do kids really develop a love of reading if they are bribed to read books?), he is also concerned about unequal access to money, which makes trades using money inherently unequal. More generally, he fears that the expansion of anonymous monetary exchange erodes social cohesion, and argues for reducing money’s role in society.

Sandel’s concerns are not entirely new, but his examples are worth reflecting upon. In the United States, some companies pay the unemployed to stand in line for free public tickets to congressional hearings. They then sell the tickets to lobbyists and corporate lawyers who have a business interest in the hearing but are too busy to stand in line.

Clearly, public hearings are an important element of participatory democracy. All citizens should have equal access. So selling access seems to be a perversion of democratic principles.

The fundamental problem, though, is scarcity. We cannot accommodate everyone in the room who might have an interest in a particularly important hearing. So we have to “sell” entry. We can either allow people to use their time (standing in line) to bid for seats, or we can auction seats for money. The former seems fairer, because all citizens seemingly start with equal endowments of time. But is a single mother with a high-pressure job and three young children as equally endowed with spare time as a student on summer vacation? And is society better off if she, the chief legal counsel for a large corporation, spends much of her time standing in line?

Whether it is better to sell entry tickets for time or for money thus depends on what we hope to achieve. If we want to increase society’s productive efficiency, people’s willingness to pay with money is a reasonable indicator of how much they will gain if they have access to the hearing. Auctioning seats for money makes sense – the lawyer contributes more to society by preparing briefs than by standing in line.

On the other hand, if it is important that young, impressionable citizens see how their democracy works, and that we build social solidarity by making corporate executives stand in line with jobless teenagers, it makes sense to force people to bid with their time and to make entry tickets non-transferable. But if we think that both objectives – efficiency and solidarity – should play some role, perhaps we should turn a blind eye to hiring the unemployed to stand in line in lieu of busy lawyers, so long as they do not corner all of the seats.

What about the sale of human organs, another example Sandel worries about? Something seems wrong when a lung or a kidney is sold for money. Yet we celebrate the kindness of a stranger who donates a kidney to a young child. So, clearly, it is not the transfer of the organ that outrages us – we do not think that the donor is misinformed about the value of a kidney or is being fooled into parting with it. Nor, I think, do we have concerns about the scruples of the person selling the organ – after all, they are parting irreversibly with something that is dear to them for a price that few of us would accept.

I think part of our discomfort has to do with the circumstances in which the transaction takes place. What kind of society do we live in if people have to sell their organs to survive?

[div class=attrib]Read the entire article after the jump.[end-div]

[div class=attrib]Image courtesy of Google.[end-div]

Business Transforms Street Art

Street art once known as graffiti used to be a derided outlet for social misfits and cultural rebels. Now it is big business. Corporations have embraced the medium, and some street artists have even “sold out” to commercial interests.

Jonathan Jones laments the demise of this art form and its transformation into just another type of corporate advertising.

[div class=attrib]By Jonathan Jones for the Guardian:[end-div]

Street art is so much part of the establishment that when David Cameron spoke about this summer’s riots, he was photographed in front of a bright and bulbous Oxfordshire graffiti painting. Contradiction? Of course not. The efforts of Banksy and all the would-be Banksys have so deeply inscribed the “coolness” of street art into the middle-class mind that it is now as respectable as the Proms, and enjoyed by the same crowd – who can now take a picnic basket down to watch a painting marathon under the railway arches.

No wonder an event described as “the UK’s biggest street art project” (60 artists from all over the world decorating Nelson Street in Bristol last week) went down fairly quietly in the national press. It’s not that new or surprising any more, let alone controversial. Nowadays, doing a bit of street art is as routine as checking your emails. There’s probably an app for it.

Visitors to London buy Banksy prints on canvas from street stalls, while in Tripoli photographers latch on to any bloke with a spray can near any wall that’s still standing. Graffiti and street art have become instant – and slightly lazy – icons of everything our culture lauds, from youth to rebellion to making a fast buck from art.

Is this how street art will die – not with a bang, but with a whimper? Maybe there was a time when painting a wittily satirical or cheekily rude picture or comment on a wall was genuinely disruptive and shocking. That time is gone. Councils still do their bit to keep street art alive by occasionally obliterating it, and so confirming that it has edge. But basically it has been absorbed so deep into the mainstream that old folk who once railed at graffiti in their town are now more likely to have a Banksy book on their shelves than a collection of Giles cartoons.

[div class=attrib]More from theSource here.[end-div]

[div class=attrib]Image of highly decorative graffiti typically found in Olinda, Pernambuco, Brazil. Courtesy of Bjørn Christian Tørrissen.[end-div]