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Question from Macroeconomics. 6-7 sentences will be enough. Don’t corporate scandals show that big business works...

Question from Macroeconomics. 6-7 sentences will be enough.

Don’t corporate scandals show that big business works against the social interest?

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The corporate scandals results to a loss of confidence in the integrity of the organisation. A corporate scandal involves actual or alleged unethical behavior by management acting on behalf of or within a corporation. Anything which harms the confidence of investor and reduces the willingness of people to save for the long-term is destructive to the economy. The ripple effects of organisation closure would be devastating for employees; their families; and thus impacting the society. Poor ethics in corporate can lead to an increased incidences of criminal activities.

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