(a) A Newsweek article on business ethics concludes, “Even in today’s complex world, knowing what’s right is comparatively easy. It’s doing what’s right that’s hard.” Explain why this statement may be true in modern corporate decision making.
(b) In 2010, average CEO pay was 319 times higher than the average employee’s pay, according to the Institute for Policy Studies. In 1980, CEO pay was only 42 times higher. Discuss possible reasons for this tremendous increase in CEO pay and analyze the ethical implications.