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Business Ethics Final Exam Questions With Correct Answers Which of the following observations is true? a. Businesses follow a collectivistic ethic. b. Ethical systems are different for governments and businesses. c. Governments follow an individualistic ethic. d. The relationship between busi...

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©SIRJOEL EXAM SOLUTIONS
12/3/2024 11:27AM



Business Ethics Final Exam Questions With
Correct Answers


Which of the following observations is true?

a. Businesses follow a collectivistic ethic.

b. Ethical systems are different for governments and businesses.

c. Governments follow an individualistic ethic.


d. The relationship between business and government is not adversarial in nature. - answer✔b.

Ethical systems are different for governments and businesses.

Which of the following is businesses' primary means of influencing government?

a. advertising

b. deregulation

c. lobbying


d. taxation - answer✔c. lobbying


Which of the following is an argument used against industrial policy?

a. Government interference via industrial policy making reduces market efficiency.

, ©SIRJOEL EXAM SOLUTIONS
12/3/2024 11:27AM


b. The declining competitiveness of the United States in all major global markets is proof of

poor industrial policy.

c. The successful use of industrial policy by foreign governments cannot be emulated in the U.S.

d. There has to be a constant change in industrial policy with every successive government. -

answer✔a. Government interference via industrial policy making reduces market efficiency.


Because of the (lack of) economics of scale, these entities may be most affected by regulation. -

answer✔small businesses


What is moral suasion? - answer✔persuading business to act in the public interest


Why have some businesses pushed for greater governmental regulations? - answer✔Certain

regulations control excessive competition.

A(n) ____ exists in a market where the economies of scale are so great that the largest firm has

the lowest cost and is thus able to drive out competition. - answer✔natural monopoly


In order to reduce costs, a plastic manufacturer disposes of toxic waste by dumping it into a river

adjacent to its factory without proper treatment. This gives rise to a situation known as a(n): -

answer✔negative externality


Which of the following is an outcome of social regulation?

a. Federal Communications Commission

, ©SIRJOEL EXAM SOLUTIONS
12/3/2024 11:27AM


b. Federal Deposit Insurance Corporation

c. Interstate Commerce Commission


d. Occupational Safety & Health Administration - answer✔d. Occupational Safety & Health

Administration

Which of the following statements is true of deregulation?

a. Deregulation has helped in reducing competition in most industries.

b. Deregulation is the opposite of economic reform.

c. Deregulation is used to remove certain industries from old-line regulations.


d. The trend toward deregulation began in the 1950s. - answer✔c. Deregulation is used to

remove certain industries from old-line regulations

participation in the formulation and execution of public policy at various levels of government. -

answer✔Political involvement


Which of the following statements is true of lobbying?

a. It is not related to passing of legislation by public officials.

b. It occurs only at the federal level.

c. It is not used to influence the election of candidates to public offices.

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