Chapter Three of “The Corporation”discusses externalities in corporations. Externalities are described as otherpeople’s problems in which other people pay the price for a corporation’simmorality. Businesses and corporations externalize costs at the expense ofworkers and the general public, which lead to many problems in the world. Inother words, corporations are dangerous to the well being of humanity. Forexample, General Motors moved the location of gas tank in the Chevy Malibu inorder to save money. By doing this, buyers of the car were put at risk. Thereading highlights an unfortunate example in which a Chevy Malibu was hit frombehind, where the gas tank was unfavorably placed, and severely injured anentire family.
General Motors knew that this could happen and they did it anywayin order to maximize profits instead of putting public safety first. Chapter Four of “The Corporation”discusses how corporations affect democracy in which they push forderegulation. President Franklin Delano Roosevelt instituted the “New Deal”which had all kinds of regulations. This made the leaders of corporations soangry that they tried to overthrow President Roosevelt.
Some renowned companiessuch as IBM worked with the Nazis because it grew profits. This shows thatthese corporations are unethical as they worked with this evil empire in orderto bolster profits. Corporations threaten the pillars of democracy and freedom.Corporations use lobbyists to push for their own personal interests at theexpense of citizens. For example, Bristol-Myers Squibb paid politicians toensure that favorable laws were passed. Corporations severely limit thegovernment and democracy.
The “If CorporationsAre People, They Should Act Like It” article details how companies should beheld to the same standards as citizens. After the Citizens United decision, which allowed corporations to spend lotsof money in political entities such as elections, people decided to fightcorporate personhood. Corporate personhood is the idea that corporations have alegal identity that is separate from its shareholders.
Companies have the sameexpectations as people when it comes to public moral obligations.