The renaissance of Aristotelian virtue ethics has produced an extensive philosophical literature that criticizes markets for a lack of virtues. Drawing on Michael Sandel’s virtue-ethical critique of price gouging during natural disasters, we (1) identify and clarify serious misunderstandings in recurring price-gouging debates between virtue-ethical critics and economists. Subsequently, (2) we respond to Sandel’s call for interdisciplinary dialogue. However, instead of solely calling on economics to embrace insights from virtue ethics, we prefer a two-sided version of interdisciplinary dialogue and argue (...) that virtue ethics should embrace economic insights. In particular, we argue that if virtue ethics is to preserve its social relevance under modern conditions, it should re-conceptualize its notion of virtue and re-evaluate the self-interested but effective—and in this sense solidary—help among strangers via markets as virtuous rather than devaluate it as greed, that is, as vicious price gouging. (shrink)

This paper offers an ethical analysis of online steering, the practice of personalizing search results in e-commerce based on data about users. We first outline the parallels and differences between online steering and price discrimination, arguing that online steering is more likely to benefit consumers and enhance social welfare than price discrimination. Next, we argue that while online steering does not violate any plausible specification of the equal-treatment norm, it involves an element of manipulation that is absent in price discrimination (...) and that by itself raises ethical concerns regardless of the welfare effects of online steering. We conclude that in order to address these ethical concerns, online steering needs to satisfy a transparency condition. (shrink)