Enlightenment led to the rise of the idea that human beings are ends in themselves.
A form of government requiring popular sovereignty, political liberty, and majority rule
is the androcracy.
The primary purpose of a business is to make a profit by providing products that satisfy
human needs.
The agricultural sector is the most dominant sector in the United States.
The catastrophic Depression of the 1930s brought to light much ineptness, criminal
negligence, and outright fraud by prominent executives.
Aristotle argued that the end justified the means.
A court awards punitive damages to a plaintiff only if malicious and willful misconduct
by a company was established.
One disability-adjusted life year (DALY) equals one lost year of healthy life.
The OECD Guidelines for Multinational Enterprises is a set of 16 broadly worded
principles about protecting and conserving the natural environment.
The ability to make quick and smooth shifts of workers into and out of jobs, companies,
or industries as business conditions change is known as labor flexibility.
When managers are convicted of criminal behavior, prison sentences are imposed based
on a numerical point system.
The structures and processes in a society that make and apply policies and rules are
called businesses.
According to historian Gary Cross, consumerism expresses a less powerful worldview
than political ideologies.
Milton Friedman believes that the sole objective of managers should be maximization
of profit.
The strength to act or to compel another entity to act is called power.
Activity in the environmental sphere is the primary force for change.
The Thirteenth Amendment was intended to prevent Southern states from passing
discriminatory laws.
The largest and most powerful peak association is the U.S. Legislative Exchange
Council, which was founded in 1912.
A tort solely involves an intentional action that causes injury.
Skeptics call cause-related marketing “conservation philanthropy”.
The dominance model represents business primarily based on the economic forces that
affect it.
Hard law refers to statements of philosophy, policy and principle found in nonbinding
international conventions.
The First Amendment to the U.S. Constitution gives businesses the right to pursue their
agenda with the federal government.
According to the theory of dualism, humans and nature are one.
Most shareholders follow management’s voting recommendations.
In the market capitalism model, the “market” acts as a buffer between business and
nonmarket forces.
The number of children a woman must have, on average, to assure that one daughter
survives to reproductive age is known as total fertility rate.
The virtue ethic states that ethical behavior arises from the virtues within one’s
character.
A corporate agency is a regulatory agency in the executive branch run by a single
administrator.
Lobbyists have huge power over broad liberal and conservative tides and headline
issues to which the public is attentive.
Elites challenge the logic of democratic ideology because in spite of being few in
number they pilot the vast majority.
Risk management decisions are based on the social scienceslaw, economics, politics,
and ethics.
Gases that evaporate from liquid or solid carbon-based compounds are known as
condensibles.
The U.S. Constitution is a federal system in which governmental powers are divided
between a national government and 50 state governments.
Keynesianism is an economic philosophy according to which social progress comes
when individuals freely pursue their self-interests in unregulated markets.
Directors who are employees of the company are called independent directors.
Leadership from the top is critical for the success of diversity management programs.
Corporations should try to internalize adverse costs of production borne by society.
Most companies focus more on an ethics approach to prevent wrongdoing than on a
compliance approach.
Which of the following is true regarding the job scenario and compensation awarded to
men and women currently?
A.Men’s earnings have steadily grown, while women’s have stagnated.
B.Women hold higher percentage of job in the static manufacturing and construction
sectors.
C.Men predominate in rapidly growing service occupations.
D.Although women earn less than men, the gap is a narrow one.
The idea that “the ends justify the means” was a basic tenet of:
A.reciprocity.
B.the theory of moral unity.
C.Machiavelli.
D.Donaldson and Dunfee.
Which of the following statements about regulations is false?
A.Regulation varies widely around the world.
B.Poor countries regulate business in a consistent manner.
C.Poor countries regulate business the most.
D.Heavier regulation brings bad outcomes.
Which of the following statements about the Bipartisan Campaign Reform Act is true?
A.It prohibited the national parties from raising and spending hard money.
B.To compensate for the loss of hard money funds, contribution limits for individuals
were raised.
C.It prohibited corporations and unions from directly funding “issue ads.”
D.It made it illegal for corporations and unions to make contributions from their
treasuries to advocacy groups.
What is the main focus of the Dodd-Frank Act?
A.Financial reform
B.Protected speech
C.Racial harassment
D.Tort reform
Which of the following agencies sets the drinking water standards?
A.The Environmental Protection Agency
B.The Food Safety and Inspection Service
C.The Consumer Product Safety Commission
D.The Food and Drug Administration
Which of the following federal agencies was established in 1966 to set highway safety
standards?
A.The Federal Highway Administration
B.The National Transportation Safety Board
C.The National Highway Traffic Safety Administration
D.The Federal Motor Carrier Safety Administration
Define utopia.
A person hired by a corporation to oversee fulfillment of conditions in an agreement to
avoid criminal indictment is called a:
A.gatekeeper.
B.mentor.
C.principal.
D.monitor.
Which ethical principle is grounded on the idea that every individual has protections
and entitlements that need to be respected by others?
A.The intuition ethic
B.The organization ethic
C.The rights ethic
D.The disclosure rule
Labor flexibility is the:
A.view that business is analogous to a game and special, lower ethics are permissible.
B.ability to make quick and smooth shifts of workers into and out of jobs as business
conditions change.
C.transferring of work from within a company to an outside supplier to cut labor costs.
D.agreement by which an employee exchanges his/her labor in return for specific pay
and working conditions.
According to which of the following is discrimination in favor of protected groups
benevolent of intention?
A.Distributive justice
B.Compensatory justice
C.Ethical theories of rights
D.Utilitarian ethics
During the 19thcentury, the Anti-Saloon League:
A.advocated the use of alcohol.
B.became a strong national adversary of business.
C.was destined to be the strongest single element opposing industry over the following
century.
D.accepted money for granting favors to corporations.
Which of the following statements about social contracts is true?
A.Businesses are not obligated to fulfill social contracts.
B.It codifies the expectations of business from society and other stakeholders.
C.It is as clear-cut as the economic forces a business faces.
D.It is partly expressed in law, but also resides completely in social values.
Some regulations stop firms from making products in harmful ways, such as, by
exposing workers to danger or by releasing pollutants. This is an example of the
government trying to:
A.provide information.
B.resolve national and global problems.
C.regulate socially desirable production methods.
D.regulate special customers.
According to Thomas Donaldson and Thomas W. Dunfee, ethical principles that are the
basis for all other ethical principles are called:
A.formal rules.
B.tacit underlying values.
C.hypernorms.
D.externalities.
What is the purpose of the General Agreement on Tariffs and Trade (GATT)?
A.To devalue currencies and limit cross-border movement of funds.
B.To overcome shortages of private capital to make loans for rebuilding war-torn
nations.
C.To raise the cost of imports, making them less competitive with similar domestic
goods.
D.To expand trade by eliminating discriminatory barriers.
Strategic initiatives where the firm seeks to profit from solving a social problem are an
example of:
A.mandated actions.
B.market actions.
C.voluntary actions.
D.private actions.
The Federal Trade Commission (FTC):
A.promotes fair competition in industries by enforcing antitrust laws.
B.bans the sale of products that expose consumers to unreasonable risks.
C.sets safety and effectiveness standards for over-the-counter drugs.
D.regulates the safety and labeling of cosmetics.
“Do unto others as you would have them do unto you” is the basic tenet of the:
A.Golden Rule.
B.Doctrine of the Mean.
C.organization ethic.
D.rights ethic.
The movement that promotes the rights and powers of end users in relation to the sellers
of products and services is called:
A.citizenship.
B.materialism.
C.consumerism.
D.productivism.
The number of children a woman must have on average to ensure that one daughter
survives to reproductive age is known as:
A.total fertility rate.
B.sub-replacement fertility.
C.replacement fertility rate.
D.net reproduction rate.
One problem with _____ is that in practice it has led to self-interested reasoning.
A.the conventionalist ethic
B.utilitarianism
C.the disclosure rule
D.proportionality
The National Highway Traffic Safety Administration does all of the following
EXCEPT:
A.mandates minimum safety standards for automobiles, trucks, and their components.
B.establishes fuel economy standards for cars and light-duty trucks.
C.administers grants for states and cities to promote highway safety.
D.conducts its own investigations for information about defects.
Directors who are employees of the company are called:
A.independent directors.
B.inside directors.
C.lead directors.
D.outside directors.
With regard to affirmative action, advocates of utilitarian ethics:
A.raise questions about the ultimate fairness of affirmative action.
B.say that discrimination in favor of protected groups is benevolent of intention.
C.say that ethics require calculations about the overall costs to society of affirmative
action.
D.argue that preferential treatment policies benefit everyone by making fuller use of
talent.
The practice of regulating by setting uniform standards, strictly enforcing rules, and
using penalties to force compliance is known as:
A.environmental tax reform.
B.cap and trade approach.
C.command-and-control regulation.
D.market incentive regulation.
Which of the following acts made it illegal for an individual to sit on the board of
directors of two or more corporations if the corporations compete in the same
market(s)?
A.The Keating-Owen Act
B.The Robinson-Patman Act
C.The Clayton Act
D.The Sherman Antitrust Act
The study of the amount of a substance human beings can absorb through inhalation,
ingestion, or skin absorption is called:
A.exposure assessment.
B.contingent valuation.
C.epidemiological study.
D.hazard characterization.
________ refers to a market economy in which the dominant businesses are large firms
run by salaried managers, not smaller firms run by owner-entrepreneurs.
A.Socialism
B.Managerial capitalism
C.Marxism
D.Egalitarianism
Discuss the impact of globalization over the years.
What were the four agencies created by Congress in response to President John F.
Kennedy’s speech on consumer rights?
What is meant by liberalism, economic liberalism, Keynesianism, and neoliberalism?
Why did the Industrial Revolution begin in Great Britain?
What is racism?
Explain what Thomas Donaldson and Thomas W. Dunfee meant by the concept of
“moral free space.”
Describe the development of the norms and principles in an evolving system of global
corporate social responsibility (CSR).
What is an independent regulatory commission?
Define replacement fertility rate.
How are environmental taxes important as policy tools? What is main drawback of
these taxes?
What are the arguments in defense of consumerism?
Explain what is meant by the utilitarian ethic in ethical decision-making.
How do radical Progressives and conservative economists perceive corporate social
responsibility (CSR)?
Define sustainable development.
Give two examples of actions reported by Global Compact participants.
Define peak associations, trade associations, Washington offices, and coalitions.
Discuss the problem of global income inequality.
Bluewashing is a report from a corporation about its actions in support of the 10 Global
Compact principles.
Explain the concepts of negligence, caveat emptor, and privity.
Explain what is meant by the “triple bottom line” in GRI reporting.