The fight for emancipation takes place on different levels, and one of them is the level of contemporary financial capitalism as debt-economy. Debt can be a major tool of control and exploitation in that it produces subordinate subjects situated in exchange relations of debt and credit. Recent work on financial debt and the debt-economy has, however, not taken gender adequately into account in philosophical definitions of indebted subjects. Gender analysis discloses how the debtor–creditor relationship is based on a contractarian idea (...) of the indebted subject as an autonomous moral agent, and on a masculine, that is, a-relational understanding of what counts as debt and what does not in the contemporary debt-economy. In contrast to atomistic notions of the subject in liberal, contractarian theories, relational notions of the subject as advanced in care ethics are a better point of departure for capturing the interdependence of subjects within a debt-economy as a core feature of a nonsustainable monetary system. On the basis of such analysis, care ethics also offers means for imagining ways of emancipation from private and public problem credit in order to make financial systems more sustainable and more just. (shrink)

The orthodox view on higher education financing is that students should bear some of the costs of attending and, where necessary, meet that cost through debt financing. New economic realties, including protracted economic slowdown and increasing austerity of the state with respect to the public funding of goods and services has meant that the same generation who have to borrow the most in order to attend face significantly fewer employment prospects upon graduation. In this context, is the current approach of (...) shifting the costs of post-secondary education from the general public to individual students justified? Most debate on the issue has focused on the demands of distributive justice within the modern higher education system and on the whole accepts the idea that students ought to pay. I argue that distributive arguments alone are insufficient because they tacitly endorse the provision of higher education as being much like a consumer's choice. As an alternative, I explore the place and importance of higher education in supporting personal autonomy as a central liberal democratic value. I then argue that debt financing of higher education places unreasonable constraints on student's choices with respect to the kind of democratic citizens that they would otherwise aspire to be. This constraint has negative implications for the wellbeing of individual students and the larger society. (shrink)

ABSTRACT:Microfinance is often assumed to be an ethically progressive industry, but in recent years it has been the target of much ethical criticism. Microfinance institutions have been accused of using exploitative lending techniques and charging usurious interest rates; and critics even question the ability of microfinance to alleviate poverty. This article reviews recent research on the microfinance sector that addresses these ethical issues. We show how this research is relevant to a number of theoretical issues, such as how to define (...) poverty, how to understand exploitation, and how to balance financial and social goals in commercial organizations. We conclude by identifying a critical agenda for future research. (shrink)

Der Aufsatz untersucht, was mit der Metapher von der moralischen "Einbettung" von Märkten gemeint ist. Zunächst werden verschiedene Formen der deskriptiven Einbettung - soziologisch, rechtlich, und institutionell - unerschieden, was zu der These führt, dass kein Markt in einem deskriptiven Sinn „uneingebettet“ ist, und dass die Frage nach Einbettung nicht alleine durch die Betrachtung von Märkten beantwortet werden kann, sondern eine breitere institutionelle Analyse erfordert. Anschließend wird vorgeschlagen, Einbettung im moralischen Sinn als die Forderung nach der Vermeidung verschiedener Formen von (...) Schädigungen zu verstehen, und diese nach dem systematischen Ort der Schädigung und anhand der Kategorien materiell versus immateriell zu kategorisieren. Anschließend werden Hindernisse für die vorgeschlagene Konzeptualisierung und deren praktische Umsetzung diskutiert, nämlich die Frage nach den relevanten Vergleichsmaßstäben und das Problem der Dynamik unbeabsichtigter Folgen, das eine entsprechende Dynamik auch in den Reaktionen auf diese Folgen nötig macht. Der Aufsatz schließt mit Überlegungen zu den Bedingungen der Möglichkeit der normativen Einbettung von Märkten auf nationaler und internationaler Ebene. (shrink)

There is an idea, extremely common among social contract theorists, that the primary function of social institutions is to secure some form of cooperative benefit. If individuals simply seek to satisfy their own preferences in a narrowly instrumental fashion, they will find themselves embroiled in collective action problems – interactions with an outcome that is worse for everyone involved than some other possible outcome. Thus they have reason to accept some form of constraint over their conduct, in order to achieve (...) this superior, but out-of-equilibrium outcome. A social institution can be defined as a set of norms that codify these constraints.1 Simplifying somewhat, one can then say that social institutions exist in order to secure gains in Pareto-efficiency. (shrink)

In contemporary society, private debt has substituted for other ways of financing the consumption of basic social goods like housing, education, and medical care. This is at least partially due to increased inequality, which has allowed costs to rise faster than median incomes, as well as due to stagnating public provisions. Debt-financed access to basic goods is problematic because it creates new kinds of unfreedom and undermines the value of the freedoms that the indebted do manage to keep or acquire. (...) Debt-financing qualifies freedom in this way by placing certain kinds of conditions on our acquisition and consumption of the goods that we buy. These conditions compromise the very freedom that we seek and value when acquiring and consuming these goods. It does so, first, by transferring the burden of providing basic goods from the public to private individuals, thereby further constraining those who already face the most constraints in accessing basic goods. And, second, the conditional character of debt-financed consumption undermines the value that we attach to having basic social goods. At the very least, this gives us strong reasons to want to regulate the conditions that creditors can place on debtors, at least with respect to basic social goods. Further, at best, the most desirable alternative to debt-financed consumption is the unconditional public provision of basic goods like housing, education, and medical care. (shrink)

Miranda Fricker's book Epistemic Injustice is an original and stimulating contribution to contemporary epistemology. Fricker's main aim is to illustrate the ethical aspects of two of our basic epistemic practices, namely conveying knowledge to others and making sense of our own social experiences. In particular, she wishes to investigate the idea that there are prevalent and distinctively epistemic forms of injustice related to these aspects of our epistemic lives, injustices which reflect the fact that our actual epistemic practices are socially (...) situated. Most of the book focuses on two such forms – Testimonial Injustice and Hermeneutical Injustice – and on the epistemic virtues required to counteract them.Testimonial Injustice occurs when a hearer fails, because of prejudice, to give due credit to the word of a speaker. For instance, in the novel To Kill a Mockingbird, the jury in the trial of Tom Robinson fail to regard his testimony as credible because he …. (shrink)

Various authors hold that what is wrong with risk imposition is that being at risk diminishes the opportunities available to an agent. Arguably, even when risk does not result in material or psychological damages, it still represents a setback in terms of some legitimate interests. However, it remains to be specified what those interests are. This article argues that risk imposition represents a diminishment of overall freedom. Freedom will be characterized in empirical terms, as the range of unimpeded actions available (...) to an agent. After briefly outlining the main characteristics of overall freedom as defended by Hillel Steiner and Ian Carter, the article shows that this notion is able to capture many of our intuitions about when and how risk imposition disadvantages an agent, without reference to welfare indicators. The article argues that if this non-welfarist perspective can be defended, then it would be easier to approach a number of applied questions about risk, including the questions of when risk imposition is permissible or legitimate, in which ways risk can be an object of distributive justice and how one can be compensated for being subject to a risk. (shrink)

For years now, public education, and especially public higher education has been under attack. Funding has been drastically reduced, fees increased, and the seemingly irresistible political force of ever-tightening austerity budgets threatens to cut it even more. But I am not going to take the standard line that government financial support for public higher education should be increased. I view that battle as already lost. What I am going to propose is that we stop arguing about the allocation or reallocation (...) of ever more scarce public resources and think of another way to fund public higher education. It's time for a new approach, one that satisfies the left's claim that higher education should be affordable for all, yet one that does not involve increasing expenditure of public funds or commit the government to entitlement programs that it cannot now or at least cannot long afford. What we need is a new proposal that is acceptable to both sides if we are to bring public education into the twenty-first century. And this is what this paper is devoted to providing. (shrink)

This article examines the stratifying effects of economic classifications. We argue that in the neoliberal era market institutions increasingly use actuarial techniques to split and sort individuals into classification situations that shape life-chances. While this is a general and increasingly pervasive process, our main empirical illustration comes from the transformation of the credit market in the United States. This market works as both as a leveling force and as a condenser of new forms of social difference. The U.S. banking and (...) credit system has greatly broadened its scope over the past twenty years to incorporate previously excluded groups. We observe this leveling tendency in the expansion of credit amongst lower-income households, the systematization of overdraft protections, and the unexpected and rapid growth of the fringe banking sector. But while access to credit has democratized, it has also differentiated. Scoring technologies classify and price people according to credit risk. This has allowed multiple new distinctions to be made amongst the creditworthy, as scores get attached to different interest rates and loan structures. Scores have also expanded into markets beyond consumer credit, such as insurance, real estate, employment, and elsewhere. The result is a cumulative pattern of advantage and disadvantage with both objectively measured and subjectively experienced aspects. We argue these private classificatory tools are increasingly central to the generation of "market-situations", and thus an important and overlooked force that structures individual life-chances. In short, classification situations may have become the engine of modern class situations. © 2013. (shrink)