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Legal, Ethical, and Social Aspects of Business: Test 2 General Test Questions & Answers Chapter 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 | Final Exam 01 02 Most laws that restrict the content of speech are analyzed under intermediate scrutiny. False Speech that is offensive to many members of the society, but is not obscene or violent, has been held to be "unprotected" by the U.S. Supreme Court. False Laws that take away a fundamental right are analyzed using rational basis review. False The powers granted under the Commerce Clause of the Constitution provide the basis upon which Congress passed civil rights legislation. True Reserved powers are given to the ________ by the Constitution state government Which of the following is a form of unprotected speech? defamatory language When a court (acting through the judge or jury) must determine the facts of the case, decide which law or set of laws is pertinent to the case, and apply those laws to resolve the dispute Trial court A court that deals solely with appeals relating to the interpretation of law Appellate court A method of outside resolution of labor and management differences in which the third party'd role is to suggest or propose a solution to the problem Mediation Utilitarianism favours the greatest good for the greatest number of people under a given set of constraints. True Sustainability may be defined as the development that meets humanity's needs at the cost of the future generations False MNCs have a very low chance of exporting "best practices" in corporate responsibilities to local firms in developing nations. False Governments and corporations are increasingly collaborating to provide assistance to communities around the world through global partnerships. True Governments and corporations are increasingly collaborating to provide assistance to communities around the world through global partnerships. True According to the text, all the following companies have been criticized for actions portraying lack of social responsibility in developing countries except: Hewlett-Packard Which of the following is likely to present an opportunity for MNCs to make a positive impact in developing countries? Adoption and exportation of best practices "Crony capitalism" describes business practices in countries with: Weak, concentrated corporate governance The following regions are most associated with "crony capitalism" except: Europe All of the following statements about ethics are true except: It is not related to the area of corporate social Which of the following views the individual as part of rather than separate from nature? Eastern philosophy Which of the following is false about the adage, "When in Rome, do as the Romans do?" It is derived from the idea of cultural materialism Which of the following statements is not true with regard to child labour? Child labour continues to climb All of the following are accurate in regard to the issue of sexual harassment in the Japanese workplace except: Sexual harassment remains a minor social issue in Japan, despite a heightened sensitivity in recent years Traditionally many male managers regard female employees as secretaries and, feel that women employees will soon marry and leave the firm. Sexual harassment is a new concept to many Japanese managers. Japanese women face a glass ceiling According to the latest corruption index of countries around the world specified in the text, the least corrupt country is: New Zealand Settlement of a labor/management dispute by a third party whose solution is legally binding and enforceable Arbitration A situation in which both parties agree to present a summarized version of their case to an independent third party; the third party advises them of his or her impression of the probable outcome if the case were to be tried Mini-trial Similar to arbitration in that an independent third party resolves the case after hearing both sides of the story Private court system Which of the following statements is true of the Commerce Clause as it pertains to foreign commerce? Regulation of foreign commerce is left to the federal government. The right to privacy is explicitly guaranteed in the U.S. Constitution. False Which of the following is enacted under state police power? personal property laws What amendment to the Constitution prohibits state governments from denying their citizens equal protection under the law? The fourteenth amendment The federal regulatory unit that most influences business activities related to questionable practices that create disputes between businesses and their customers Federal Trade Commission (FTC) Set of statutory laws covering several business law topics Uniform Commercial Code (UCC) Stipulates the specific terms the seller will honor Express warranty Imposed on the producer or seller by law, although it may not be a written document provided at the time of sale Implied warranty Santo belongs to the Eliok tribe in an Indian reservation in southern Nevada. He wants to open a casino in the reservation. However, the state authority denies the tribe permission to open a casino in its own territory. Which of the following permits the tribe to bring suit in federal court and force the state to comply? The Federal Indian Gaming Regulatory Act Executive orders are directives enacted by Congress to require the Executive branch to take some action. False When the states ratified the Constitution, they delegated certain powers-called enumerated powers-to the federal government. True Conducting activities in a way that allows for the long-term well-being of the natural environment, including all biological entities; involves the assessment and improvement of business strategies, economic sectors, work practices, technologies, and lifestyles so that they maintain the health of the natural environment Sustainability The rules and regulation that govern the conduct of business Business law A private or civil wrong other than breach of contract Tort A purposefully unlawful act to decieve or manipulate in order to damage other Fraud Businesses' legal responsibility for any negligence in the design, production, sale, and consumption of products Product liability A mutual agreement between two or more parties that an be enforced in a court if one party chooses not to comply with the terms of the contract Contract The failure or refusal of a party to a contract to live up to his or her promises Breach of contract A common business relationship created when one person acts on behalf of another and under that person's control Agency Where one individual or organization takes another to court using civil laws Lawsuit The legal power of a court, through a judge, to interpret and apply the law and make a binding decision in a particular case Jurisdiction Generally speaking, political speech by a corporation is _______________________. afforded full protection under the Constitution A business's obligation to maximize its positive impact and minimize its negative impact on society Social responsibility An identifiable problem, situation, or opportunity that requires a person to choose from among several actions that may be evaluated as right or wrong, ethical or unethical Ethical issuse The Equal Protection Clause requires all persons the right to a trial by their peers. False The concept of federal law taking precedence over state or local law is called the preemption doctrine. True The one in an agency relationship who wishes to have a specific task accomplished Principal The one in an agency relationship who acts on behalf of the principal to accomplish the task Agent Consists of real estate and everything permanently attached to it Real property All other property that is not real property Personal property A group of students organizing a protest march would be an instance of ________ speech. limited protected The Equal Protection Clause of the Fourteenth Amendment provides that a state cannot promote one religion over other religions. False The ________ provides that federal law takes precedence over state or local law. Preemption Doctrine Refers to property, such as musical works, artwork, books, and computer software, that is generated by a person's creative activities Intellectual property Passed in 1890 to prevent businesses from restraining trade and monopolizing markets Sherman Antitrust Act Prohibits price discrimination, tying and exclusive agreements, and the acquisition of stock in another corporation where the effect may be to substantially lessen competition or tend to create a monopoly Clayton act Questions arising under the Due Process Clause which involve race are typically subject to rational basis review. False Lila, a newspaper columnist from Chicago, is unhappy with the soaring price of fuel in the U.S. She publishes an article that criticizes the government's refusal to offer gasoline at a subsidized price. This is an example of fully protected speech. True Payments, gifts, or special favor intended to influence the outcome of a decision Bribes The act of taking someone else's work and presenting it as your own without mentioning the source Plagiarism Formalized rules and standards that describe what a company expect of its employees Code of ethics The act of an employee exposing an employer's wrongdoing to outsiders, such as the media or government regulatory agencies Whistleblowing Kingsland is a country that has been exporting apples to the United States for over a century, shipping 300 tons to Georgia each month. However, last month, Kingsland violated a trading norm which was not condoned by Georgia. Which of the following measures should be taken to regulate apple imports from Kingsland? Georgia can appeal to the federal authority which can stop imports from Kingsland. Which of the following statements is true of the Supremacy Clause of the U.S. Constitution? Any state or local law that "directly and substantially" conflicts with valid federal law is preempted The Due Process Clause of the U.S. Constitution grants Congress the power "to regulate commerce with foreign nations, and among the several states, and with Indian tribes." False A police officer can never search a person's home without first obtaining a search warrant. False The Establishment Clause guarantees that there will be no state-sponsored or promoted religion. True Substantive due process requires that that the government give a person proper notice and hearing of legal action before that person is deprived of his or her life, liberty, or property. False Jerome wears a t-shirt that bears a picture of the current U.S. president. Under this picture, there are words which imply that the President is doing a bad job of running the country. In accordance to the Freedom of Speech Clause, which of the following is valid? Criticizing the current president is fully protected speech and Jerome cannot be prosecuted. The extent to which businesses meet the legal, ethical, and voluntary responsibilities placed on them by their stakeholders Corporate citizenship The activities that independent individuals, groups, and organizations undertake to protect their rights as consumers Consumerism |
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