Ethics on a Macro Level Essay

2588 WordsMay 23, 201511 Pages
Lutfiya Rawat business ethics ETHICS ON A MACRO-ECONOMIC LEVEL The Macro-Economic level examines the economy as a whole to explain broad aggregates and their interactions "top down", that is, using a simplified form of general-equilibrium theory. Such aggregates include national income and output, the unemployment rate, and price inflation and sub aggregates like total consumption and investment spending and their components. It also studies effects of monetary policy and fiscal policy. Since at least the 1960s, macroeconomics has been characterized by further integration as to micro-based modeling of sectors, including rationality of players, efficient use of market information, and imperfect competition. This has addressed a long-standing concern about inconsistent developments of the same subject. Macroeconomic analysis also considers factors affecting the long-term level and growth of national income. Such factors include capital accumulation, technological change and labor force growth. At a macro level, sometimes called the systemic level, ethics are defined and influenced by the wider operating environment in which the company exists. Factors such as political pressures, economic conditions, societal attitudes to certain businesses, and even business regulation can influence a company's operating standards and policies. Business owners and managers must be aware of how these pressures affect operations and relationships, and how they may impact on markets locally, nationally and internationally. Free Market System A free market is a market system in which the prices for goods and services are set freely by consent between sellers and consumers, in which the laws and forces of supply and demand are free from any intervention by a

More about Ethics on a Macro Level Essay

Open Document