64 OObjectivity - a Pipe Dream ? Ethics & Trust in Finance Global edition 2016-2017 Finalist Mariusz Maziarz On Price Indices The estimates obtained in these three ways are likely to differ more Poland and Objectivity Ph.D. candidate, than the average value of their Wroclaw University of 8IBU XJMM UIF SBUF PG JOËBUJPO ex-post error. Moreover, even an Economics*, be next year? That question can be answer to the question about the Wroclaw answered in several ways. A skeptic JOËBUJPO SBUF UIBU XBT NFBTVSFE who adheres to the Pyrrhonic in the previous year is ambiguous. conviction that it is impossible It can be given by indicating the to make predictions will look at value of the Consumer Price Index MBTU ZFBSkT JOËBUJPO ÊHVSFT XIJDI (CPI) or Producer Price Index assuming random changes in this (PPI) published by the US Bureau macroeconomic indicator, would be of Labor Statistics. Or one might the best estimate. An econometrician VTF UIF WBMVF PG UIF (%1 EFËBUPS will apply his mathematical knowledge whose estimates are delivered by the and modeling ability to analyze how Bureau of Economic Analysis. Then, JOËBUJPOIBTCFFOUSFOEJOHPWFSUIF for the sake of simplicity, one might past years and whether it has been compare the cost of the same basket correlated with other variables. A of shopping bought today and a year * The views expressed herein are those of the (theoretical) economist will build ago. Finally, the value of each of the author and do not neces- a mathematical model determining JOËBUJPOJOEJDBUPSTNFOUJPOFEBCPWF TBSJMZSFËFDUUIPTFPGUIF the essential relationship between can be calculated with the Paasche 0SHBOJ[BUJPOIFJTBGÊMJBUFE UIF FOEPHFOPVT JOËBUJPO SBUF BOE and Laspeyres indices, which will to. exogeous determinants. BMTP JOËVFODF UIF FTUJNBUF "T UIBU FINANCE & THE COMMON GOOD/ BIEN COMMUN 65 shows, any answer to a question to knowledge induction is was concerning an economic fact convincingly argued by Taleb (2010, depends on the methods applied to p. 40), when described the thoughts Quel sera le taux getting that answer. EkJOËBUJPOMkBOO²F of a doomed turkey that took what prochaine ? La réponse 8F DBO ÊOE EFNBOET GPS it had seen of life so far as proof that dépend de la méthode objectivity in many ethical codes it would live forever. Until, that is, de calcul. Les éva- PG DPOEVDU JO ÊOBODJBM TFSWJDFT *O Thanksgiving came along.) luations obtenues de différentes façons sont those from national and international In this essay, I advance a thesis susceptibles de différer bank associations, from supervisory UIBU GVMÊMMJOH TVDI EFNBOET GPS plus que la valeur authorities, and from professional objectivity is impossible. Objectivity moyenne de leur erreur organizations. For instance, Polish is out of the question not because a posteriori. Même une banks have voluntarily agreed to of the malice or greed of the people réponse à la question be bound by the Code of Banking XPSLJOH JO UIF ÊOBODJBM TFDUPS CVU EVUBVYEkJOËBUJPOEF Ethics, which provides that disputes l’année précédente est because an objective or – in other ambiguë, on peut la with clients are resolved “in an words – true viewpoint either does donner en indiquant la objective way” (ZBP 2013, p. 5). not exist or is epistemologically Similarly, the valeur de l’Indice des Code of Ethics and inaccessible. prix à la consommation Standards of Professional Conduct (le CCPP) ou l’Indice published by the CFA Institute It is clear that most of the des prix à la production PCMJHFT ÊOBODJBM BOBMZTUT issues dealt with by the employees (PPI). Ou, au contraire, to “deal fairly and objectively PG UIF ÊOBODJBM TFDUPS BSF OPU utiliser la valeur du matters for philosophical debate. GBDUFVSEFE²ËBUJPO with all clients” (paragraph III.B) du PIB. La valeur de and also “to achieve and maintain For instance, there is an objective chacun des indicateurs independence and objectivity answer to a client’s question about EkJOËBUJPOTVTNFOUJPO - in their professional activities” the commission in a relevant table nés peut être calculée (I.B). Objectivity is mentioned as of fees and commissions. Similarly, avec les indices de principle 2 by the Code of Ethics and there is one mathematical formula Paasche et Laspeyres Professional Responsibility set up by GPSDBMDVMBUJOHUIFQSPÊUPOBEFQPTJU RVJJOËVFODFSPOUBVTTJ UIF$FSUJÊFE'JOBODJBM1MBOOFS#PBSE l’estimation. given its value, maturity, and the of Standards (2016). Being objective interest rate. However, as I intend is also mentioned in the codes of to highlight in this introductory DPOEVDUPGNBOZCBOLTBOEÊOBODJBM section, situations in which an Nous pouvons trouver institutions (cf., for instance, objective answer cannot be reached les exigences d’objec- JPMorgan Chase&Co. 2016). PDDVSNPSFPGUFOJOÊOBODJBMTFSWJDFT tivité dans plusieurs codes de conduite Now, though induction is an than is commonly believed. Below, en matière éthique uncertain source of knowledge, * CSJFËZ SFWJFX UIF QIJMPTPQIJDBM établis tant par des I will take the liberty of claiming sources of the idea of objectivity and associations de banque that objectivity is, if only implicitly, the accessibility of truth and go on internationales que demanded by all ethical codes of to analyze several case studies that nationales, des auto- seem to contradict such a viewpoint. rités de surveillance DPOEVDU FTUBCMJTIFE CZ ÊOBODJBM institutions. (How uncertain a route Finally, I offer a few solutions. DO THE RIGHT THING: INCENTIVISE ETHICS 66 et des organisations by the practically-oriented sophists professionnelles. Par A Few Words on Philosophy that earned popularity. That is why exemple, le Code science is now seen as an activity d’Ethique et de Normes In ancient Greece, beside the aimed at discovering truth. de Conduite Profes- mainstream philosophers we sionnelle publié par This truth is understood as an l’Institut CFA (2014) recognize today, there were also objective description of reality, oblige les analystes sophists, who – as Sophie’s teacher rather than as something that offers ÊOBODJFST©USBJUFS BQUMZ PCTFSWFE JO UIF ÊDUJPOBMJ[FE models to help deal with the world. de manière équitable introduction to the history of The objective of eternal truth was et objective tous les philosophy, Sophie’s World – established by one of the Socrates’ clients» (paragraphe rejected a huge part of philosophical students, Plato, who believed that III.B) et aussi à deliberations (particularly «atteindre et conser- truth, or – in other words – what ver l’indépendance et metaphysics), because “although science produces, should describe l’objectivité dans leurs answers to philosophical questions eternal ideas rather than a changeable activités profession- may exist, man cannot know the everyday experience. Plato (2000, p. nelles» (I.B). truth about the riddles of nature 220) believed that our experience is Dans cet essai, j’avance and of universe” (Gaarder, 1994, mere illusion, similar to the shades la thèse que satisfaire p. 60). One of the sophists making of reality, of ideas on a wall of the les exigences d’objecti- a living out of teaching Athenians, cave seen by the people held inside. vité est impossible. La raison est qu’un point Protagoras, rightly observed that, for de vue objectif ou – en human beings, “man is the measure Mirroring reality d’autres termes – vrai, of all things.” However, it was not the However, Plato optimistically soit n’existe pas, soit philosophical viewpoint supported assumed that, through rational est épistémologique- Graph1: Plato’s Allegory of the cave. inquiries, we can understand the ment inaccessible. reality which, located in front of the entrance to the cave, casts the shade. Indeed, understanding reality, or, in Les sophistes ont rejeté other words, explaining it, is the main une grande partie des goal of the most popular paradigm débats philosophiques of the philosophy of economics – (particulièrement méta- TDJFOUJÊDSFBMJTN5IJTUSFOEFNFSHFE physiques), parce que in the mid-20 th century in an attempt «bien que les réponses UP SFTQPOE UP UIF TFWFSF EJGÊDVMUJFT aux questions philo- sophiques puissent faced by the Vienna Circle positivists. exister, on ne peut It was also a response to the success pas connaître la vérité Source: Saenredam J., Plato’s Allegory of the physical sciences. Even though sur les énigmes de la of the cave, http://www.britishmuseum. calling economics a successful science nature et de l’univers». org/research/collection_online/collec- is a risky and questionable thesis, Protagoras a observé tion_object_details/collection_image_ the methodologists of this particular avec justesse que gallery.aspx?partid=1&assetid=2611 discipline seem to be those most «l’homme est la mesure 45001&objectid=1490634 , (CC BY- TVQQPSUJWF PG UIF JEFB PG TDJFOUJÊD de toutes choses ». NC-SA 4.0). Access: 1 March 2016. realism. FINANCE & THE COMMON GOOD/ BIEN COMMUN 67 According to this approach, which and ontological indeterminism 1 is gets its strongest underpinning from negligible for the purposes of further the work done on the philosophy BSHVNFOU &WFO UIPVHI TDJFOUJÊD of economics by Uskali Mäki realism is the most popular approach (2011), an analytic philosopher among philosophers of economics, La science est mainte- from Helsinki, the primary aim of thinkers interested in other, usually nant considérée comme a scientist is to explain analyzed more successful sciences, do not une activité destinée phenomena. The truth or rightness support this viewpoint (Tegmark, à découvrir la vérité PG UIFPSJFT BOE NPEFMT JT EFÊOFE 1998). comprise en consé- with reference to “essesimilitude”,