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Pointing Fingers: Why People Hold Corporations Responsible

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  • Leroch Martin A.

    (Institute of SocioEconomics, University of Hamburg, Von-Melle-Park 5, 20146 Hamburg)

Abstract

Social incentives, e. g. holding others responsible, are a major but in economics rarely discussed element of norm enforcement. I argue they are intimately tied to sentiments towards the assumed causers of a specific outcome. If, in case of joint actions, individual causers are not identifiable, a group as a whole may be held responsible. Those collective entities serve as ‘scapegoat’ and thus relieve those involved from their empathetic distress. Consequently, the ascription of responsibility is easily flawed and not reliable. Policy recommendations calling on the responsibility of the actors should thus be dispensed with.

Suggested Citation

  • Leroch Martin A., 2009. "Pointing Fingers: Why People Hold Corporations Responsible," Zeitschrift für Wirtschaftspolitik, De Gruyter, vol. 58(3), pages 396-410, December.
    • Handle: RePEc:lus:zwipol:v:58:y:2009:i:3:p:396-410
    DOI: 10.1515/zfwp-2009-0306
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