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A firm injured by unfair foreign competition can file a petition for relief under the U.S. trade law. Answer: Bribes are expected to indirectly benefit the least advantaged persons. Answer: False Unrestricted FDI was allowed in most industries but was […]

Elaborate on how the news media maintains balance and fairness in their treatment of issues. Answer: Write a short note on the Superfund outlining its significance. Answer: The EPA administers the Superfund for the cleanup of existing toxic waste disposal […]

A dictator game involves two participants, a proposer, who unilaterally makes a decision about how much of an endowment to keep and how much to contribute to a responder, who takes no action and simply receives the contribution. Answer: The […]

Ethics systems are classified as categorical imperative or theoretical imperative. Answer: Rights based on moral principles can be publicly enforced. Answer: False The domestic politics of international trade are asymmetric due to sunk resources and the rents on those resources. […]

Firms have more control over their future in their nonmarket environment than they have in the markets in which they operate. Answer: Rights established by political choice do not reflect moral principles. Answer: False Even when there are advantageous trades […]

The explanation for the uneven sex ratio in India is the preference for girls that resulted in sex selection through the abortion of male fetuses. Answer: Casuist reasoning argues that an unethical action is justified by the benefits it provides […]

Nonmarket issues come from both external forces and the firm’s actions. Answer: Emerging market countries face financial restrictions, price controls, and regulatory risks when doing business in developed countries. Answer: False There are no limits on contributions to candidates’ campaigns […]

Which of the following statements is true of behavior in the context of behavioral ethics experiments? a) The lower the cost (moral or otherwise) of acting ethically, the less likely is ethical behavior. b) Greater social distance increases the cost […]

The Coase theorem pertains to market imperfections, including externalities and public goods. Answer: China’s paramount executive body is the State Planning Commission (SPC). Answer: False Exemptions are also provided under the antitrust laws. Answer: True Depository institutions such as banks […]

The advantage of civil law is that it can adjust to changing circumstances without having to wait for new statutes to be enacted by legislation. Answer: The antitrust policy is the centerpiece of competition policy, and this section addresses EU […]

In contrast to corporate social performance, corporate social responsibility need not be motivated by moral considerations but instead could be strategic or a response to the social pressure a firm faces. Answer: The size of the Chinese economy implies that […]

In India, it is legal for a medical professional to reveal the sex of fetuses to their parents. Answer: Since the general public sentiment favors righteousness, private politics does not need to implement strategies to influence the outcome of an […]

Aggregate benefits and per capita benefits are indicators of the demand for nonmarket action. Answer: Friedman’s objection is to corporate social responsibility that is anticipated. Answer: False In 1999 Macao was returned to China by Portugal. Answer: True Gert’s test […]

Campaign contributions by businesses are not made to affect the outcomes of elections. Answer: The courts do not decide which rule is applicable on a case-by-case basis but instead hold that certain practices are per se illegal and others are […]

In one’s lobbying efforts, it is a good principle to make straightforward presentations to members of trade associations. Answer: In formulating a strategy for addressing a crisis, as long as a firm has strong brand reputation it need not consider […]

The new IO approach to antitrust is derived from the economics of modern industrial organization. Answer: Government intervention to deal with market imperfections or failure may itself be subject to a nonmarket failure. Answer: True “If corruption is widespread in […]

Opportunities can be controlled by government at one extreme and markets at the other extreme. Answer: The greater the cost of organizing, the less prevalent the free-rider problem. Answer: False The Industrial Organization school of thought believes that government intervention […]

Firms have the right to form and participate in coalitions and associations to conduct nonmarket activity. Answer: The nonmarket environment of a firm is characterized by four I’s: independence, individuality, ideas and income. Answer: False As long as the management […]

Which of the following portrays a response strategy in crisis management program? a) A computer screen manufacturing company decides to recall its faulty dispatch. b) A pharmaceutical company appoints a contractor auditor to assess its manufacturing process. c) A company […]