Monday, September 8, 2008

Greed is Good?

I believe that was the second time I have seen that particular movie, and I still have a hard time discerning which view taken is right. On the one hand, there is a small group of wealthy corporate businessmen who seem to really benefit from how our economy works. The example of the Vanderbilt house or of Bill Gates simply proves that. There is almost always a general benefit for everyone in the corporation, but the wages of workers is shadowed by what the CEOs are making.

On the other hand, greed drives people to improve the quality of their product or to find faster ways to produce. In simple terms, greed creates competition between companies, which means the consumer will get the best possible quality item. Everyone works for their own personal interest, whether to gain money through a transaction or to gain a product through it. The problem is, how does a person decide when someone is being too greedy, or if that is even possible.

So I guess in some situations, greed is a great, even invaluable characteristic to have. People who are driven to create something because their existence depends on it will probably make an item of good quality. I think the greatest point made in the entire video was that if people worked or traded just for the love of their heart, then very little work would get done. At the end of the day, people are more concerened about themselves or their families than the consumer, and if that means greed is good, then I would have to agree with it.

2 comments:

Mr. Newburn said...

Good thoughts, Richard. You'll learn later this semester how wages are determined, and (hopefully) then you'll get why CEO's make what they make, and why, say, factory workers make what they make.

Unknown said...

I don't think that greed motivates a person to produce a higher quality item. If they are making a good margin, they might decide to keep things where they are. Or even worse, they might cut corners in the quality of products used in the production, or they might spend less time creating the product so they can get even greater profit.