Economics Assignment: Royal Commission and Financial Misconduct

This economics assignment examines the critical aspects of human resources, ethics, and financial misconduct within the context of the Royal Commission into Misconduct in the Banking, Superannuation and Financial Services Industry. The report discusses the importance of human dignity and ethical values, contrasting them with profit maximization strategies that can lead to misconduct. It explores underlying economic concepts such as obeying the law, acting fairly, and providing suitable services. The assignment reviews issues like rewarding misconduct and conflicts of interest, emphasizing the need for better human resource management and ethical practices within financial institutions to improve resource development. The conclusion stresses the significance of education and valuing human resources for economic expansion.

Running head: Economics Assignment
ECONOMICS ASSIGNMENT
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Economics Assignment
Table of Contents
Introduction......................................................................................................................................3
Brief about article and three important issues.................................................................................3
Underlying concepts........................................................................................................................4
Critical review.................................................................................................................................6
Conclusion.......................................................................................................................................8

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Economics Assignment
Introduction
Human resources are one of the important components in any business. It is important for
the business house to indulge the loyalty, ethical values and dignity while considering the
decision-making abilities. Through the development of enough innovation in the human
resource, the company will be able to maximize their resource development and channelization.
Milton Friedman opined that maximizing the profit of the shareholder is one of the main aims of
firms, the main consequence of profit maximization is faced by human resource, and they have
to sacrifice their human values and human ethics. Human dignity is important in the sense that
moral of the human valuation of life is important along with the production capability.
Brief about article and three important issues
The four observations that have been found out from the report on the Royal Commission
into Misconduct in the Banking, Superannuation and Financial Services Industry are issues,
causes and rewarding misconduct. One the other hand, conduct in issues was mainly not
responding to the profit of organization but will also mainly from the profit maximization of
private entities. The misconduct took place in form of providing remuneration that is mainly
looking for the development of the resources. Secondly, the services that were commissioned for
the customers were relegated (Bostrom et al. 2016). Those who are dealing with customers
became sellers. The confusion has been extended well beyond the front line staffs. On the other
hand, the financial institutes provide the services to many customers through an intermediary.
The customer believes that the intermediary will provide the goods to the customers based on the
choice and they will be only designed for the clients taking into clients’ interest.

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Economics Assignment
Even the customers were given fake promises regarding the development of the services
as the interest of both intermediaries, customers were not aligning in the same direction, and they
were moving in different directions. On the other hand, through the development of customer
based services and products will be aiming to indulge the development of company. Even the
Chapter 7 of the Corporations Act 2001 (Cth) (the Corporations Act), and the National
Consumer Credit Protection Act 2009 (Cth) (the NCCP Act) (but not the Superannuation
Industry (Supervision) Act 1993 (Cth) – the SIS Act) has batted in favor of managing conflicts of
interest. It is important for the economy to indulge the development of miscommunication and
misconduct the economy financial development of entity and how they are dealing with the
development of resource development. Rewarding misconduct is going to highlight the biasness
and will allow the discomfortness of the consumers and they will be aiming to increase the
development of financial stability (Brighouse et al. 2018).
Most of the conflicts that are responsible for the development of the issues that are being
popped up in the economy are going to highlight mainly the in competencies that are being
provided within the economy. On the other hand, through the development of the resource will
not only increase the level of efficiency. The report is mainly batting in support of the valuation
in the human resource and maintaining the dignity is one of the important factors that will be
helpful for the development of human resources. Most of the firms do forget the human dignity
while responding to the profit margin. Most of the private entities will not be willing to value
their human resources and in many organizations, the firms will be willing mainly to increase the
technologies required for profit maximization technology (Perlin and Weinstein, 2016).

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Economics Assignment
Underlying concepts
From the chosen article, it has been seen that some of the key concepts are in the form of
obeying the law, exemption of misleading or deceiving, acting fairly, providing services that are
fitting only to the customers, delivering service with care and skills. It is also important to
consider while acting for other, the business interest for the other person should be taken care
off. The general obligations of Australian financial services license (AFSL) holders, stated in
section 912A of the Corporations Act, and the general obligations of Australian Credit License
(ACL) holders stating the economy is going to highlight the development of resource so that the
companies can increase the development of resources (Gluchman et al. 2017). It is important in
the sense that it will definitely increase the development of the human resource and will be
willing to increase the development of human resource so that they can increase the development
of participation of the employees. It is important in the sense that it will be highlighting in the
sense that it will be highlighting development in the human resource.
This is one of the important aspects for the whole business because in order to increase
the revenue of their business, the companies need to focus on the development of the dignity and
the valuation in the human resource. It is important for every company to increase the benefits
that are given to the human resource and will be willing to highlight the development of
resources. On the other hand, the importance of the government is that they will be looking to
increase the development of resource development in terms of better human resource base. It is
highly important for the whole economy to indulge in the development of resources and the
human resources are an important part of development process. It is important for the
development of resource the financial institutions are looking for the development of resources
and will be mainly willing to increase the flow of their operation through the importance of

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Economics Assignment
human resources. It is highly important for the company to increase the technological knowledge
of their human resources through the improvement in the training and compatibilities. This is
going to increase the development of resources in an effective sense that through the
development of better training and giving moral values to their human resources will increase the
expansion of the company through the development.
Critical review
The financial institutes are not using the ethics values that are not taking the initiave to
increase the development of resources. On the other hand, through the development of the
resources it has been seen that in order to increase the resource development of any economy, the
improvement in the economy and the company will be aiming to increase the resources in an
effective way. The reports that has been created by the Royal commission regarding the ethics
and human dignity is claiming the fact that maintaining the industrial laws regarding the
development of human resources law will automatically clear the pressure of human resources.
On the other hand, using the better base of the human resources will not only induce the
government to increase the validity of human resources, the companies including financial
institutes should monitor the scenario. This is aiming to increase the valuation of the employees
within the company and the government must enact better policies that are having strict rules and
regulations.
On the other hand, it is highly important for the companies like financial institutions to
increase the resource development so that they can identify the solutions that are mostly related
with the behavioral pattern of the company towards the importance of better improvement in the
profit maximization theory. In order to maximize the profit most of the companies will be willing
to increase the development of economic variables and the other factors will grow and develop.

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Economics Assignment
It is highly important in the sense that throughout the development of resources the companies
will be playing an important role in upbringing knowledge. Maintaining the dignity is going to
incorporate the development of working environment. Through the development of mutual
understanding among the employees and employer will help the companies to grow and
minimize their gaps in the growth of populations. On the other hand, through the development of
resources that will increase the improvement in the economy.

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Economics Assignment
Conclusion
The whole study is claiming the fact that in order to increase the development of
resources within the economy development in the human resource is extremely important. On the
other hand, through the development of resources it has been seen significantly helping in the
development of better accessibility and training. It is highly important in the sense that
increasing the education and giving values to the human resources will definitely allow to
expand the economy. On the other hand, using resources in an effective way will bring the
development of the economy.

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Economics Assignment
Reference list
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superintelligence. Future of Humanity Institute, University of Oxford. Retrieved June, 8, p.2018.
Brighouse, H., Ladd, H.F., Loeb, S. and Swift, A., 2018. Educational Goods: Values, Evidence,
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Micek, M.A., 2016. Ethical Dilemmas When Refusing Medical Treatment: Modernized
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Perlin, M.L. and Weinstein, N.M., 2016. Said I, but You Have No Choice: Why a Lawyer Must
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