Assignment

Short Answers On two separate pages, select three of the following questions to answer; each answer is worth ten points. The three combined answers must exceed two typed pages (one inch margins, size twelve fonts and double spacing). To receive comparable credit, each answer should be about the same length. Your short answers should be stapled to this answer page.

1. Which perspective on corporate governance (traditional vs. revisionist) is more accurate today, and why? Who are the key players and what are the checks and balances on the potentially overwhelming power of top management to control their personal fortunes at the eventual cost of the company and its stockholders?

2. Do you really care what your CEO earns in a year? What are the pros and cons for attempting to limit "excessive compensation" offered and paid to many corporate executives today? Also, discuss the question that if limits were implemented, why would anyone become a business executive?

3. Why do consumers need to be protected? How does this "needed protection" fit in with our general class discussion of "the three circles"? Would you, and how would you, limit the jury awards given to consumers in cases of border-line product malfunctions?

4. If you were the Economic Development Coordinator for "small town USA", what kinds of businesses would you pursue and how would you pursue them? Assuming some success on your part (bringing new employers to your town), how can you defend the increased competition and labor costs to existing businesses already located in your town?

5. What is the ideal employment relationship and how does it compare (favorably and unfavorably) to prevalent employment relationships that exist today? How would you fix it?

6. Is there any defense for the gap in compensation between male and female incumbents of the same job if they have similar qualifications? Pan two of the same question - what is the most prevalent form of sexual harassment in today's workforce and how would you address that problem?

7. In what ways does "entitlement" become a problem in the relationship between employees and their employer (both for individual employees and for groups of employees). Give an example of when "employee entitlements" become a potential problem that government may feel pressure to intervene in the basic employment relationship.

8. In what ways are employees diverse, and in what ways are employees largely similar? As a matter of top management, what are some cost-effective strategies for maximizing the potential value of employee diversity?