Coursework Re-Assessment

ANSWER ALL QUESTIONS

FTX

FTX launchedas a trading platform for crypto investors in May 2019, with Bankman Fried as its majority owner. Known universally now as SBF, Bankman-Fried had previously opened a hedge fund with a friend, Gary Wang, called Alameda Research LLC. In late 2022, the U.S.Securities and Exchange Commission accused SBF of defrauding his companies' investors by steeringmoney from FTX into Alameda Research between 2019 and 2022. SBF and company executives allegedly used the cash to purchase homes in the Bahamas, invest in other companies and fund favored political causes. When crypto assets took a precipitous plunge in 2022, the cash spigot went dry at both FTX and Alameda - with the latter owing FTX customers about $8 billion, according to the CommodityFutures Trading Commission - and federal prosecutors stepped in to issue fraud charges. By November, FTX and Alameda went bankrupt, and SBF was arrested on Dec. 12 in the Bahamas. A judge on Dec. 21 approved the transfer of SBF from the Bahamas to the U.S. to face fraud and money laundering charges, among others. New FTX CEO John Ray 111, who led the Enron liquidation, said, "Never in my career have I seen such a complete failureof corporate controls and such a complete absenceof trustworthy financialinformation as occurred here."

You can read more about the FTX case study here:

https://www.forbes.com/ sites/qai/2022/12/13/what-happen ed-to-crypto-giant-ftx-a detaiIed-summary-of-wh at-we-actuaIly-know-here/?sh=40b67f d960fa

(a} Discuss in detailthe above case study in the contextof Kantian Theoryprinciples

(30 marks}

Question 2

1. Describe what is virtue ethics and explain a clearexample to illustrate the theory being applied in real life. (10 marks}

(b} A US major manufacturer, GA, has outsourced its 8,000-worker production plantto a lower cost country in order to boost profit margin and improve shareholders' dividends. Many of the workers were made redundant as a result. Since the manufacturer no longer has a production facility in US, its suppliers who used to provide raw materials, machinery and other support services also suffered major losses and started retrenching their workers. The local government also collected fewer taxes since there were fewer employed workers and lowered business activities. Describe utilitarian theory and apply it to determine if GA's decision to outsource its production is considered ethical or not.

{20 marks)

Question 3

1. Identify and describe the corporate responsibility view that was advocated by Milton Friedman.

(10 marks)

1. Entrepreneurs like Mark Zuckerberg of Facebook and Elon Musk of Space X have taken risks to build to their businesses and been successful at it. The fundamental premise for their success mostly hinges on the ownership of private property and free market forces. For billionaires like them who have made their wealth mostly based on their own effort and perseverance, would itbe fair to impose high income tax on them to redistribute their wealth to help the poor?

Question 4

1. Describe the terms 'sweatshop' and 'child labour'.

(20 marks)

(15 marks)

1. Overfishing in countries like Japan has led to near distinction of some fishes due to the common believe that the supply of fishes is 'free and unlimited'. Identify and describe this incorrect assumption about nature and suggest a solution to overfishing.

(15 marks)

Question 5

1. Distinguish between bribery andkick back with ONE example each to illustrate these unethical behaviours.

(15 marks)

1. On average,female in US earn about 20%less than male in similar jobs requiring identical qualifications and experiences. Identity and describe the program that aims to close this gender pay gap.

(15 marks)