Which of the following is true about tort law?
a. Tort law holds that the only duties that a person owes are those that have been
explicitly promised to another party.
b. Tort law holds manufacturers accountable in cases when consumers are injured by
products and no one is at fault.
c. Tort law holds a principal responsible for the actions of an agent when that agent is
acting in the ordinary course of his or her duties to the principal.
d. Tort law holds that people do not owe other people any general duties, if they have
not voluntarily assumed them.
Which of the following responsibilities entail an incentive to redesign products so that
they can be recycled efficiently and easily?
a. Cradle-to-grave
b. Backcasting
c. Cradle-to-cradle
d. Eco-efficiency
Tom, an employee of Electronixx, adjusted credits and debits of the company’s ledger to
show high profits. He also created false documents, underreported his income, and
evaded paying taxes for a year. Tom can be convicted for _____.
a. unethical insider trading
b. conflicts of interest in corporate governance
c. conflicts of interest in accounting
d. unfair executive excessive compensation
Which of the following is true of moral imagination?
a. It occurs when decision makers fail to notice gradual variations over time.
b. It refers to the shortsightedness about values.
c. It distinguishes good people who make ethically responsible decisions from good
people who do not.
d. It results from focusing failures.
Employees will be on their best behavior during phone calls if they know that those
calls are being monitored. Identify this effect of employee monitoring.
a. The placebo effect
b. The observer-expectancy effect
c. The Hawthorne effect
d. The halo effect
Which of the following directed the USSC to consider and to review its guidelines for
fraud relating to securities and accounting, as well as to obstruction of justice, and
specifically asked for severe and aggressive deterrents in sentencing recommendations?
a. Bank Secrecy Act
b. Sarbanes-Oxley Act
c. Gramm-Leach-Bliley Act
d. Fair Credit Reporting Act.
Corporate social responsibility refers to:
a. those things that businesses ought, or should, do, even if they would rather not.
b. those measures that are taken against the ill treatment of subordinates in a firm.
c. the avoidance of misconduct within an organization.
d. the responsibility that society has to ensure a business’s success.
The Supreme Court separated the ‘mandatory’ element of the Federal Sentencing
Guidelines for Organizations from their advisory role, holding that their mandatory
nature:
a. was only applicable to individuals and not to organizations.
b. provided arbitrary punishments.
c. violated the Sixth Amendment right to a jury trial.
d. encouraged internal whistleblowing.
The first step in making decisions that are ethically responsible is to:
a. determine the facts.
b. consider the available alternatives.
c. monitor and learn from the outcomes.
d. identify and consider the impact of the decision on stakeholders.
According to economist Herman Daly, neoclassical economics, with its emphasis on
economic growth as the goal of economic policy will inevitably fail to meet these
challenges:
a. if it suggests that the population of the world needs to be controlled.
b. unless it recognizes that the economy is but a subsystem within earth’s biosphere.
c. unless it recognizes that resources are infinite.
d. if it focuses on recycling and reusing the by-products of the production process.
Morality is the aspect of ethics that we can refer to by the phrase ‘_____.’
a. personal freedom
b. individual rationality
c. personal integrity
d. persuasive rationality
Which of the following holds that a business should be responsible for incorporating the
end results of its products back into the productive cycle?
a. Backcasting
b. Cradle-to-cradle
c. Take-make-waste
d. Cradle-to-grave
Which of the following statements about the doctrine of employment at will (EAW) is
true?
a. Employment at will holds that employers can fire an employee at any time, but have
to provide them with a valid reason.
b. The freedom to terminate the employer-employee relationship is mutual, both
theoretically and practically.
c. The ethical rationale for EAW has both utilitarian and deontological elements.
d. Civil rights laws are not an exception to the EAW because it prohibits firing someone
on the basis of membership in certain prohibited classes.
Corporate managers who fail to give due consideration to the rights of employees and
other concerned groups in the pursuit of profit are treating these groups as means to the
ends of stockholders. This is unjust according to the _____.
a. financial framework
b. classical tradition
c. rights-based ethical framework
d. stockholder theory
Telling organizations that their ethical responsibilities end with obedience to the law:
a. is just inviting more legal regulation.
b. is enough to maintain an ethical business environment.
c. reduces the frequency of corporate scandals.
d. eliminates ambiguity while making personal ethics-related decisions.
Which of the following is true about the ‘Hawthorne Effect’?
a. According to the Hawthorne effect, workers’ productivity improves when they are
singled out.
b. According to the Hawthorne effect, workers show poor performance when they know
that they are being monitored.
c. The Hawthorne effect allows managers to monitor their employees effectively.
d. The Hawthorne effect only occurs when the mechanisms used to monitor employees
are unethical.
Which of the following is a similarity between utilitarianism and stakeholder theory?
a. Both place organizational benefits above other considerations.
b. Both consider the consequences of management decisions for the well-being of all
affected groups.
c. Both contribute to society in ways that go beyond the narrow obligations of law and
economics.
d. Both strive to focus only on consumers.
Which of the following refers to a policy or a program that tries to respond to instances
of past discrimination by implementing proactive measures to ensure equal opportunity
today?
a. Gentrification
b. Bully Broads
c. Just cause
d. Affirmative action
Describe the advantages associated with ethical decision-making.
The _____ standard of tort law focuses on the sense of responsibility that involves
liability or fault.
A commitment to using _____ for setting standards would require that, once the
standards are set, we adopt the least expensive and most efficient means available for
achieving those standards.
How do mandatory government standards work?
How does philosopher Norman Bowie defend the version of CSR that would fall
within the social web model?