What benefits would customers derive from the 137 million they would have to

What benefits would customers derive from the 137

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What benefits would customers derive from the $137 million they would have to pay if the Pinto’s gas tank was modified? Statistical data showed that modifying the gas tank could prevent the future loss of about 180 burn deaths, 180 serious burn injuries, and 2,100 burned vehicles. At the time (1970), the government valued a human life at $200,000, a figure it needed to use to decide whether to spend money on a project that might save several lives or spend it on some other project that might save several million tax dollars.; Insurance companies valued a serious burn injury at $67,000 when they paid for losses due to burns (including the losses of pain and suffering); and the average residual value on subcompacts was estimated at $700. Therefore, in monetary terms, modifying the gas tank would have the benefit of preventing losses that added up to a total value of only $49.15 million. Ford managers went ahead and produced the Pinto without modifying its gas tank. It is estimated that in the decade that followed about 60 persons died in fiery accidents involving Pintos and that at least twice that many suffered severe burns over large areas of their bodies, many requiring years of painful skin grafts. Ford, however, kept the Pinto on the market until 1980. Question for discussion: Justify Ford manager’s business policy through the light of Utilitarianism and Kantian/duty based ethics.
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