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                                                                                    Ethics in Information Processing


                emphasize the role of the traditional principal-agent rela-  Goodpaster, Kenneth E. (1991). “Business Ethics and Stake-
                tionship based on honesty, loyalty, and trust. Duska  holder Analysis.” Business Ethics Quarterly. 1:1, 52-71.
                (1992) argues: “Clearly, there is an extent to which
                [Adam] Smith and the economists are right. Human
                                                                                                  Anand G. Shetty
                beings are self-interested and will not always look out for
                the interest of others. But there are times they will set
                aside their interests to act on behalf of others. Agency sit-
                uations were presumably set up to guarantee those times.”
                                                                 ETHICS IN
                   The idea that human beings can be honest and altru-
                istic is an empirically valid assumption; it is not hard to  INFORMATION
                find examples of honesty and altruism in both private  PROCESSING
                and public dealings. There is no reason this idea should  New technologies in information processing often raise
                not be embraced and nurtured. As Bowie (1991) points  ethical concerns, resulting from their creating new possi-
                out: “Looking out for oneself is a natural, powerful  bilities for human action. Computer ethics can be defined
                motive that needs little, if any, social reinforcement …  as moral philosophy concerning the ethical dilemmas
                Altruistic motives, even if they too are natural, are not as  involved in areas of information processing, including
                powerful: they need to be socially reinforced and nur-  theories, approaches in decision-making situations, and
                tured” (p. 19). If the financial-economic theory accepts  methods of increasing awareness of ethics. These ethical
                the fact that behavioral motivations other than that of
                                                                 and moral issues are among the most socially important
                wealth maximization are both realistic and desirable, then  aspects of information processing. There are two major
                the agency problem that economists try to deal with will
                                                                 problems in the area: (1) unethical behavior leading to
                be a nonproblem. For Dobson (1993), the true role of  immoral acts such as virus creation and software piracy
                ethics in finance is to be found in the acceptance of
                                                                 and (2) lack of awareness about information technology
                “internal good” (“good” in the sense of “right” rather
                                                                 security and information technology-related crimes.
                than in the sense of “physical product”), which, he adds,
                                                                    Ethics in information processing is considered so
                is what classical philosophers describe as “virtue”—that
                                                                 important that the Computer Ethics Institute developed
                is, the internal good toward which all human endeavor
                should strive. He contends: “If the attainment of internal  the following Ten Commandments of Computer Ethics.
                goods were to become generally accepted as the ultimate  Thou shalt not use a computer to harm other peo-
                objective of all human endeavor, both personal and pro-  ple.
                fessional, then financial markets would become truly eth-
                                                                    Thou shalt not interfere with other people’s com-
                ical” (p. 60).
                                                                       puter work.
                SEE ALSO Finance
                                                                    Thou shalt not snoop around in other people’s com-
                                                                       puter files.
                BIBLIOGRAPHY
                                                                    Thou shalt not use a computer to steal.
                Bowie, Norman E. (1991). “Challenging the Egoistic Paradigm.”
                  Business Ethics Quarterly. 1:1, 1-21.             Thou shalt not use a computer to bear false witness.
                Bowie, Norman E., and Freeman, Edward R., eds. (1992). Ethics  Thou shalt not copy or use proprietary software for
                  and Agency Theory: An Introduction. New York: Oxford Uni-
                  versity Press.                                       which you have not paid.
                DeGeorge, Richard T. (1992). “Agency Theory and the Ethics of  Thou shalt not use other people’s computer
                  Agency.” In Ethics and Agency Theory: An Introduction, Nor-  resources without authorization or proper com-
                  man E. Bowie and Edward R. Freeman, eds. New York:   pensation.
                  Oxford University Press.
                                                                    Thou shalt not appropriate other people’s intellec-
                Dobson, John (1993). “The Role of Ethics in Finance.” Finan-
                  cial Analysis Journal. 49:6,  57-61.                 tual output.
                Duska, Ronald R. (1992). “Why Be a Loyal Agent? A Systematic  Thou shalt think about the social consequences of
                  Ethical Analysis.” In Ethics and Agency Theory: An Introduc-  the program you are writing or the system you
                  tion. Norman E. Bowie and Edward R. Freeman, eds., New  are designing.
                  York: Oxford University Press.
                                                                    Thou shalt always use a computer in ways that
                Frowen, S.F., and McHugh, F.P., eds. (1995). Financial Decision-
                  Making and Moral Responsibility. New York: St. Martin’s  ensure consideration and respect for your fellow
                  Press.                                               humans.


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