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by JDulin 2628 days ago
This is an important point, and I couldn't agree more.

This idea overwhelms me when I read the newest filings and indictments of pharmaceutical companies in the opioid crisis. A corporation, fundamentally, cannot "learn lessons" like people do. It is a collection of incentives, with men inside directed or manipulated by those incentives. If gently nudging 47,000 people a year to kill themselves with overdoses would create more revenue for the corporation, after lawsuit settlements, than not, they would likely do it all over again. Even if you change the men making the decisions - "Finding more moral men" is not a plan.

Executives must have skin in the game, because the possible upside to their career at the highest levels of American business are too great to hope they'll take a moral stand. The potential upside for Richard Sackler, and John Kapoor, and Steve Jobs is so high (Massive bonuses, stock prices), and the potential downside so low (They are fired, with a generous golden parachute), they are willing to take the chance they'll get away with it. The most likely outcome is that attorneys will get rich, and nothing much else.

The only solution to †his type of white collar crime and leadership malfeasance is to make executives, the individual human beings, feel a tinge of reptilian fear in their gut that they may go to prison and the livelihood of their families could be put in danger.

2 comments

> A corporation ... is a collection of incentives, with men inside directed or manipulated by those incentives ... "Finding more moral men" is not a plan.

I couldn't agree more, and that analysis applies to all systems of human interaction, not just corporations. I wish people would use that framework to understand everything, specifically government.

While I agree, in our current political climate it’s not going to happen.

In the interim I would be willing to settle on significant punitive damages. Eg. Make getting caught very expensive and those corporate nudges will start nudging in the directions of protecting employees, consumers, etc.

It should also be down to the individual level so that people down the the chain of command won't have the incentive to protect the executive in fear of losing their jobs.
also, take a page from our transit providers: "if you see something, say something." and be proactive about it. don't wait till it's too late.

if we're all whistleblowers, people high up the chain will fear having the whistle blown on them. don't just leak illegal things, leak immoral things.

grassroots transparency. do it anonymously if you have to. hold your bosses accountable.