Business Ethics
One of the major economic challenges in today’s society is global gender inequality. Gender inequality is not only a pressing moral and social issue but also a critical economic challenge. Women are performing more work and producing more results and still earn lower than their male counterparts. Similarly, global poverty has become more urgent, with the gap between the rich and the poor increasing. Not only is poverty seen as a social ill that can be avoided through public action, but doing so is seen as perfectly consistent with a robustly growing economy (Ravallion, 2016).
Outsourcing jobs enables a company to become more competitive through market diversification. Additionally, through outsourcing, a company’s labor costs are lowered since it hires employees from markets with much lower living costs, translating to more profits; this increases employment in the US economy, especially in the manufacturing, technology, call centers, and human resources sectors.
An imbalance in earnings majorly influences trade deficits in a country’s savings and investments. Over time, trade deficits necessarily hurt employment often in specific sectors, leading to an employment drop (Krueger, 2020). Contrarily, they allow for competitive pricing for residents raising their standards of living. Furthermore, they reduce the threat of inflation by lowering prices.
Short-termism does not add more to the economic output, growth, or jobs in the US economy. Inauspicious conditions are likely to drive short-termism as investors become wary of short term viability. Profits in such companies are steered to shareholders rather than reinvesting to improve productivity, fundamental to economic growth.
Concerning changing attitudes toward work, many companies are embracing a new model in the workplace. For instance, companies shift from full- time to more part-time positions and contractual employees, significantly reducing overhead costs and creating more flexible work environments for their personnel. As a result of this, the US’s economy has experienced a boom, which has resulted in a high gross domestic product, high rate of inflation, and low unemployment (Ashman, Newman, & Tregenna, 2020).
References
Ashman, S., Newman, S., & Tregenna, F. (2020). Radical Perspectives. The Oxford Handbook of Industrial Policy, 178.
Krueger, A. O. (2020). International Trade: What Everyone Needs to Know®. Oxford University Press, USA.
Ravallion, M. (2016). The Economics of Poverty: History, Measurement, and Policy, New York: Oxford University Press.