Bus Ethics Final

maternity leave

A temporary period of absence from employment granted to expectant or new mothers, and in some countries—Sweden, Iceland, and Germany— new fathers as well.

ecosystem

A total ecological community, both living and nonliving.

Just cause requires that reasons for discipline or discharge related directly to job performance A) True B) False

A) True

The Supreme Court has ruled that sexual favoritism is a form of sexual harassment and is therefore illegal. A) True B) False

A) True

direct strike

Cessation of work by employees with the same industrial grievance.

direct strikes

Cessation of work by employees with the same industrial grievance.

As they try and fit into a work world dominated by white men, women and minorities can be disadvantaged by A) stereotypes B) prejudiced attitudes C) false preconceptions D) all of these can be disadvantages

D) all of these can be disadvantages

wellness programs

Employer programs which push employees toward healthier lifestyles.

Horizontal price fixing

Horizontal: When competitors agree to adhere to a set price schedule, not cut prices below a certain minimum, or to restrict price advertising or the terms of sales, discounts or rebates; Vertical: When manufacturers, as opposed to direct competitors, agree to set prices.

Which of the following is an accurate statement about modifications to common law from the Wagner Act of 1935?

It's illegal to fire workers because of union membership.

Bona fide occupational qualifications

Job specifications to which the civil rights law does not apply.

bona fide occupational qualifications (BFOQs)

Job specifications to which the civil rights law does not apply.

Statistics indicate that on the job, about 5,000 people every year are

Killed

open-shop laws

Laws that prohibit union contracts requiring all employees on a job site to either join the union or pay the equivalent of union dues once hired.

grease payments

Paying foreign officials for business favors.

Moral vegetarians

People who reject the eating of meat on moral grounds.

Pricing mechanisms

Programs designed to charge firms for the amount of pollution they produce.

prudential reasons

Reasons in which the consideration is self-interest.

Granting workers new responsibilities and respect can benefit the entire organization.

T

U.S. v. O'Hagan

The 1997 Supreme Court Ruling that endorsed the misappropriation of insider trading theory, which allows the SEC to prosecute individuals who trade on confidential information as inside traders, who are not strictly speaking company insiders, if they misappropriate that information.

assumption of risk

The assumed risk that comes with taking employment. Such an assumption of risk requires informed consent, which means an employee has been fully informed about the danger and freely chosen to assume the risk.

employment at will

The common law doctrine that, apart from explicit contractual provisions, either side—employee or employer—is free to terminate at any time without advance notice or reason. This doctrine, however, has been modified, by congressional and state statutory provisions, such as The Wagner Act of 1935 and The Civil Rights Act of 1964.

due process

The fairness of the procedures an organization uses to impose sanctions on employees.

Which of these is a valid reasoning for not hiring a potential employee?

The person has a lack of experience.

inbreeding

The practice of promoting exclusively from within the firm.

sexual harassment

Unwelcome sexual advances, requests for sexual favors, and other verbal or physical conduct of a sexual nature.

weasel words

Words used to evade or retreat from a direct or forthright statement.

A fact about job satisfaction is

a lack of job satisfaction can create mental health problems

The most common reason that people leave their jobs is

a poor relationship with their immediate supervisor

A "trade secret"

a secret device or technique used by a company in manufacturing its products.

Polygraph tests

are impossible to beat when properly administered

Employers have the right to fire an employee who performs inadequately, but they should do so

as painlessly as possible

Some writers deny that employees have any obligation of loyalty to the company, because

companies are not the kind of things that are properly objects of loyalty.

According to the traditional law of agency, which statement is true?

employees are under a legal obligation to act loyally and in good faith and to carry out lawful instructions.

Since Congress passed the Americans With Disabilities Act in 1994,

employers must make "reasonable accommodations" for disabled workers.

Fair personnel policies and decisions must be based on criteria that are clear, job related, and

equally applied

According to Jeremy Bentham, the question is not whether animals can feel pain, but whether they can talk and reason

false

According to Kenneth Arrow, trust and confidence are highly overrated in business.

false

Congress has now outlawed puffery

false

Conflicts of interests are what kind of problem?

moral

Privacy

must be respected if we are to function as complete, self-governing agents

According to common-law, to legally terminate an employee, an employer

need have no reason at all.

Which of the following is an true statement about the information gained from polygraph tests?

not only should the organization have job-related grounds for using the polygraph, but these must be compelling enough to justify violating the individuals privacy and psychic freedom

The use of one's official position for what always raises moral concerns and questions?

personal gain

Tests are designed to measure the applicants's skills in verbal, quantitative, and

reasoning ability

According to David Ewing, two factors explain the absence of civil liberties and the prevalence of authoritarianism in the workplace. Which of the following is one of them?

the rise of personnel engineering and professional management

According to the Supreme Court

there's nothing improper about outsiders using information

Groups of 18th century skilled artisans formed secret societies for two basic reasons. Which of the following is one of those reasons?

to equalize their relationship with their employers

According to Joel Feinberg, future generations of people have a right to be born.

true

Consumer Product Safety Commission (CPSC)

Agency created by Congress in 1972, which sets standards for products, bans products presenting undue risk of injury, and in general polices the entire consumer-product marketing process from manufacture to final sale.

gullible-consumer standard

An FTC prohibition against advertising that might mislead someone who is ill-informed or naïve.

proprietary data

An organization's classified or secret information.

A primary boycott occurs when people refuse to patronize companies that handle products of struck companies A) True B) False

B) False

Austin Fagothey and Milton Gonsalves believe one of the three conditions when a strike is justified is A) when workers are coerced into striking B) even when there is not proper authorization C) under no conditions except for a just cause D) when it is a last resort

D) when it is a last resort

externality (spillover)

Disparity between private industrial costs and public social costs.

externality, or spillover

Disparity between private industrial costs and public social costs.

A job description describes the qualifications an employee needs, such as skills, educational experience, appearance, and physical attributes.

F

Inbreeding is the practice of showing favoritism to relatives and close friends.

F

Increased productivity by changing the color of the surrounding working environment is known as the "Hawthorne effect."

F

Nepotism is the practice of promoting exclusively from within the firm.

F

The key purpose of quality of work life (QWL) programs is to involve workers more fully in the production process by seeking their ideas.

F

Occupational Safety and Health Administration (OSHA)

Federal agency created in 1970 to regulate and enforce safe and healthy working conditions.

management styles

How managers conduct themselves on the job.

Seniority

Longevity on a job or with a firm.

right-to-work state

States with open-shop laws, which prohibit union contracts requiring all employees on a job site to either join the union or pay the equivalent of union dues once hired.

right-to-work states

States with open-shop laws, which prohibit union contracts requiring all employees on a job site to either join the union or pay the equivalent of union dues once hired.

Informed consent implies deliberation and free choice.

T

One problem that OSHA will have to address in the future is the increasing number of musculoskeletal disorders.

T

The breaking up of jobs into smaller and smaller units, with each worker performing fewer tasks but repeating them thousands of times a day, has contributed to health problems in manufacturing.

T

The express purpose of a boycott is the same as a strike - to hurt the employer and strengthen the union.

T

The express purpose of any boycott is the same as that of a strike - to hurt the employer or company financially and thus strengthen the union's bargaining position.

T

The general proposition that a firm has a legitimate interest only in employee behavior that significantly influences work performance applies equally to off-the-job conduct.

T

living wage

The amount of money a full-time employee needs to afford the necessities of life, support a family, and live above the poverty line.

Nepotism

The practice of showing favoritism to relatives and close friends.

Out of these four, which one is the only correct statement concerning OSHA?

critics call OSHA a "toothless tiger"

The key moral ideal in promotions is

fairness

. In his essay "Social Responsibility and Economic Efficiency," Kenneth Arrow has argued that ethical behavior in the business world comes only at the expense of economic efficiency.

false

A psychological appeal is one that aims to persuade by appealing primarily to reason and not to human emotional needs

false

According to Cambridge University biologist Andrew Balmford, the loss of nature's services is always outweighed by the benefits of development

false

Economists favor legal paternalism because it prevents individuals from balancing safety against price.

false

Environmental protection is always a static trade-off, with a fixed economic price to be paid for the gains we want.

false

Externalities are the intended negative (or in some cases positive) consequences that two parties purposefully impose on an external third party.

false

In his books The Affluent Society and The New Industrial State, John Kenneth Galbraith argues that consumer wants determine what gets produced

false

In the 1960 case Henningsen v. Bloomfield Motors and the 1963 case Greenman v. Yuba PowerProducts, injured consumers were awarded damages based on their proving that the manufacturers of the defective products were negligent.

false

Recent studies have shown that neither corporate moral codes nor corporate culture affect whether individuals inside the corporation behave morally or immorally.

false

Regulation is always the most effective way to allocate the costs of environmental protection.

false

Strict liability is the same thing as absolute liability

false

Tampering with the ecosystem always has injurious effects.

false

Thanks to the EPA, the federal government long ago eliminated the problem of potentially harmful pesticides and other chemical residues in food.

false

The FTC now follows the reasonable-person standard in matters of advertising, sales and marketing.

false

The Fair Packaging and Labeling Act of 1966 empowers representative agencies to rank and list all ingredients in the order of decreasing percentage of total contents

false

The business-can't-handle-it argument is an argument in favor of a broad view of corporate responsibility.

false

The discussion of corporate moral agency also included discussion of corporate punishment and corporate internal decision structures

false

The international fishing industry as it exists today gives us good reason to reject the moral of Garrett Hardin's "Parable of the Commons."

false

The invisible-hand argument against broadening corporate responsibility says that business's appetite for profit should be controlled by the hand of the government.

false

The rising affluence of people in the United States has meant a corresponding decrease in pollution and its attendant environmental problems in the United States.

false

When advertisers conceal facts, they suppress information that is favorable to their products.

false

"Weasel words" are words used to evade or retreat from a direct or forthright statement

true

A moral of Garrett Hardin's parable "The Tragedy of the Commons" is that there can be a difference between the private costs and the social costs of a business activity.

true

Adherents of the broad view of corporate responsibility claim that modern business is intimately integrated with the rest of society and that, as a result, although society expects business to pursue its economic interests, business has other responsibilities as well

true

An ordinary example of an ecosystem is a pond.

true

Anti-paternalism gains plausibility from the view that individuals know their own interests better than anyone else and that they are fully informed and able to advance those interests.

true

Due care is the idea that consumers and sellers do not meet as equals and that the consumer's interests are particularly vulnerable to being harmed by the manufacturer, who has knowledge and expertise the consumer does not have.

true

Externalities are the unintended negative (or in some cases positive) consequences that an economic transaction between two parties can have on some third party.

true

Limited liability" means that members of a corporation are financially liable for corporate debts only up to the extent of their investments.

true

Moral vegetarians are people who reject the eating of meat on moral grounds.

true

One decisive case in the legal transition away from the reasonable-person standard in matters of advertising, sales and marketing was FTC v. Standard Education.

true

Strict product liability is the doctrine that the seller of a product has legal responsibilities to compensate the user of that product for injuries suffered due to a defective aspect of the product, even though the seller has not been negligent in permitting that defect to occur.

true

Subliminal advertising is advertising that supposedly communicates at a level beneath our conscious awareness

true

The Federal Trade Commission (FTC) was established over seventy-five years ago to protect consumers against deceptive advertising

true

The doctrine of caveat emptor means that the law may be justifiably used to restrict the freedom of individuals for their own good

true

The word "ecology" refers to the science of the interrelationships among organisms and their environment.

true

Three approaches have gained the most attention when it comes to achieving our environmental goals: the use of regulations, incentives, and pricing mechanisms.

true

What society finds to be useful and desirable is always brings profitability to companies.

true

To be successful any test used by a corporation must be:

valid

job screening

A company practice to attract qualified applicants who have a good chance of succeeding at the job, and to weed out applicants or potential applicants who are unlikely to work out.

Cost-benefit analysis

A device used to determine whether it's worthwhile to incur a particular cost.

OECD (Organization for Economic Co-operation and Development) Anti-Bribery Convention

A formal treaty that outlaws bribing public officials in foreign business transactions and sets up review and monitoring mechanisms.

OECD Anti-Bribery Convention

A formal treaty that outlaws bribing public officials in foreign business transactions and sets up review and monitoring mechanisms.

right to refuse dangerous work

A legal right acknowledged by the U.S. Supreme court, which allows employees the right to refuse work when it exposes them to imminent danger without employer reprimand or retaliation.

ecological economics

A new discipline which calculates the value of an ecosystem in terms of what it would cost to provide the benefits and services it now furnishes us.

kickback

A percentage payment to a person able to influence or control a source of income.

psychological appeal

A persuasive effort aimed primarily at emotion, not reason.

psychological appeal (in advertising)

A persuasive effort aimed primarily at emotion, not reason.

Americans with Disabilities Act

Act prohibiting employers from discriminating against employees or job applicants with disabilities when making employment decisions.

Americans with Disabilities Act (ADA)

Act prohibiting employers from discriminating against employees or job applicants with disabilities when making employment decisions.

Civil Rights Act of 1964

Act that prohibits all forms of discrimination based on race, color, sex, religion, or national origin.

ambiguity

Ads which can be understood in two or more ways that are sometimes used to deceive.

ambiguity (in advertising)

Ads which can be understood in two or more ways that are sometimes used to deceive.

Subliminal advertising

Advertising that communicates at a level beneath conscious awareness, where, some psychologists claim, the vast reservoir of human motivation primarily resides.

subliminal advertising

Advertising that communicates at a level beneath conscious awareness, where, some psychologists claim, the vast reservoir of human motivation primarily resides.

Consumer Product Safety Commission

Agency created by Congress in 1972, which sets standards for products, bans products presenting undue risk of injury, and in general polices the entire consumer-product marketing process from manufacture to final sale.

job description

All pertinent details about the content of a job, including its duties, responsibilities, working conditions, and physical requirements.

polygraph tests

Also known as lie-detector tests, tests that are administered on a polygraph machine that records changes in the subject's physiological processes, the data of which is supposed to indicate or not the presence of deceptive answers.

reasonable-consumer standard

An FTC prohibition against advertising claims that would deceive reasonable people. People who are taken in because they are more gullible or less bright than the average person would be unprotected.

secondary boycott

An act in which people refuse to patronize companies that handle products of struck companies.

primary boycott

An act in which union members and their supporters refuse to buy products from a company being struck.

sympathetic strike

An act in which workers who have no particular grievance of their own decide to strike in support of others.

Whistle-blowing

An employee (past or present) informing the public about the illegal or immoral behavior of an employer or an organization.

Termination

An employee's dismissal which results from the employee's poor performance—that is, from his or her failure to fulfill expectations.

One of the seven factors given to help minimize the chances of setting unfair wages and salaries is that

An employer's financial capabilities affect what constitutes a fair wage scale for that employer's employees.

naturalistic ethic

An ethics which holds that some natural objects are morally considerable in their own right.

situational interview

An interview in which job candidates have to engage in role playing in a mock scenario.

conflict of interest

Arises when employees at any level have special or private interests that lead them, or might be anticipated to lead them, to make decisions or to act in ways that are detrimental to their employer's interests.

An isolated to occasional remark or innuendo inevitably constitutes sexual harassment. A) True B) False

B) False

Executive Order 10925, which decreed that federal contractors should "make rigid quotas to ensure that applicants are employed without regard to their race, creed, color or national origin." A) True B) False

B) False

Inbreeding refers to longevity on a job or with a firm A) True B) False

B) False

Men cannot be victims of sexual harassment A) True B) False

B) False

OSHA requires safeguards whether or not they are "feasible" A) True B) False

B) False

Parental leave and flexible work arrangements always hurt the bottom line, however much they may benefit parents. A) True B) False

B) False

Sympathetic strikes have very little power A) True B) False

B) False

The Civil Rights Act of 1964 applies to all employers, both public and private, with twenty five or more employees. A) True B) False

B) False

The Employee Polygraph Protection Act permits most private employers to use lie detectors in "pre-employment testing" A) True B) False

B) False

The SEC's insider-trading rule reduces equality of opportunity in the marketplace. A) True B) False

B) False

The Wagner Act of 1935 permitted firing workers because of union membership or union activities A) True B) False

B) False

Conflict of interest may exist when employees have financial investments A) in sports teams B) in suppliers, customers, or distributors with whom their organizations do business C) and question the wisdom of the deal D) that lead to office romance

B) in suppliers, customers, or distributors with whom their organizations do business.

When it comes to obtaining information about employees, a key concept is: A) positive externalities B) informed consent C) paternalism D) economic efficiency

B) informed consent

Sexual comments that one woman appreciates might distress another woman. The courts decide when such behavior is inappropriate by seeing if the behavior would be offensive to A) the person accused of the harassment B) the hypothetical "reasonable person" C) the common law as modified by legislation D) the person to whom the comments are directed

B) the hypothetical "reasonable person"

hostile-work-environment harassment

Behavior of a sexual nature that is distressing to women and interferes with their ability to perform on the job, even when the behavior is not an attempt to pressure the woman for sexual favors.

A study published in the Journal of the American Medical Association showed that postal workers who tested positive for drug use in a pre-employment urine test were at least 50 percent more likely to be

fired injured, disciplined, or absent than those who tested negative

Of the four types of discharge, firing

for-cause dismissal--the result of employee theft, gross insubordination, release of proprietary information, and so on

An early 1970s government study ("Work in America") identified three chief sources of worker dissatisfaction. Which of the following is one of those sources?

the rigidity of rules and regulations

. The word "ecosystem" refers to a total ecological community, both living and non-living

true

According to John Kenneth Galbraith, business's social role is purely economic and corporations should not be considered moral agents.

true

According to Keith Davis, in addition to considering potential profitability, a business must weigh the long-range social costs of its activities as well. Only if the overall benefit to society is positive should business act.

true

According to Melvin Anshen, the case for a broad view of corporate responsibility can be defended on the basis of there always being a kind of social contract existing between business and society.

true

According to Milton Friedman, business has no social responsibilities other than to maximize profits.

true

Advocates of a naturalistic ethic contend that some natural objects are morally considerable in their own right, apart from human interests.

true

Any equitable solution to the problem of who should pay the bill for environmental cleanup should take into account responsibility as well as benefit.

true

Before the case of MacPherson v. Buick Motor Car in 1916, injured consumers could only recover damages from the retailer of the defective product.

true

Business's responsibility for understanding and providing for consumer needs derives from the fact that citizen-consumers are dependent on business to satisfy their needs.

true

Companies should look at a code of ethics as more than just window dressing with more than just a vagueness that is so general it lacks substance.

true

Corporate internal decision (CID) structures amount to established procedures for accomplishing specific goals.

true

Corporations should welcome the outside opinions of society as a whole, local communities, customers, suppliers, employees, managers, and stockholders.

true

Cost-benefit analysis is a device used to determine whether it's worthwhile to incur a particular cost.

true

Defenders of advertising claim that, despite criticisms, advertising enjoys protection under the first Amendment as a form of speech

true

Legally a corporation is a thing that can endure beyond the natural lives of its members and that has incorporators who may sue and be sued as a unit and who are able to consign part of their property to the corporation for ventures of limited liability.

true

Most business observers agree with Berle and Means that, because stock ownership in large corporations is so dispersed, actual control of the corporation has passed to management.

true

The case of First National Bank of Boston v. Bellotti sharpened the legal distinction between corporations and individuals.

true

The controversy over legal paternalism pits the values of individual freedom and autonomy against social welfare

true

The idea that corporations will impose their values on us supports one of the arguments for the narrow view of corporate social responsibility.

true

The new discipline of "ecological economics" calculates the value of an ecosystem, not in terms of what people are willing to pay for it, but in terms of what it would cost to provide the benefits and services that the ecosystem now furnishes us.

true

In union terms, a direct strike occur

when an organized body of workers withholds its labor to force the employer to comply with its demands

Austin Fagothey and Milton Gonsalves believe one of the three conditions when a direct strike is justified is

when it is a last resort

The most accurate statement about workplace safety is:

workers are often unaware of the hazards they face on the job

Douglas McGregor rejects Theory X, which holds that

workers essentially dislike work and will do everything they can to avoid it

The appropriate guideline for testing potential employees is:

Griggs v. Duke Power Company, which prohibits employers from requiring a high school education as a prerequisite for employment or promotion without demonstrable evidence that the associated skills relate directly to job performance

tragedy of the commons

Hardin's parable that attempts to show that unlimited access and unrestricted demand for a finite resource depletes that resource through wasteful consumption, such that no one can use it.

price fixing, horizontal and vertical

Horizontal: When competitors agree to adhere to a set price schedule, not cut prices below a certain minimum, or to restrict price advertising or the terms of sales, discounts or rebates; Vertical: When manufacturers, as opposed to direct competitors, agree to set prices.

disparate impact

Implementing a rule or practice that, while not discriminatory on its face, excludes or adversely affects too many people of a particular sex, race, or other protected category.

Business gifts and entertainment

In a business situation, willing giving something to someone without payment, quid quo pro or expectations. Because gifts often create a sense of gratitude, the morality of such gifts is dependent on a number of factors including the gift's value, purpose, circumstances of giving, the receiver's position of authority, accepted business practice, a company's policy and specific laws already in place. Entertainment in the context of doing business, while different than gifts, is related and should be evaluated along the same lines as gifts.

trade secret

Information used in a business that may give it an advantage over competitors who do not know or use it.

musculoskeletal disorders

Injuries and illnesses that include aching backs, crippled fingers, sore wrists, and other problems such as carpal tunnel syndrome, sciatica, and tendinitis.

pink-collar occupations

Jobs which are traditionally held by females and which are paid less than jobs which are traditionally held by males.

dependence effect

John Kenneth Galbraith's term which refers to the loss of consumer sovereignty as societies become more affluent; the market controls the wants consumers have instead of consumers controlling the market through their purchases.

Clean Air Act

Legislation passed in 1970, which banned lead additives in gasoline resulting in cleaner air today and a 90% reduction of lead in the air.

Clean Air Act (1970)

Legislation passed in 1970, which banned lead additives in gasoline resulting in cleaner air today and a 90% reduction of lead in the air.

Clean Water Act

Legislation passed in 1972 aimed at eliminating all water pollution by 1985.

Clean Water Act (1972)

Legislation passed in 1972 aimed at eliminating all water pollution by 1985.

Foreign Corrupt Practices Act (FCPA)

Legislation passed in 1977 that makes it illegal for U.S. companies to pay foreign officials for business favors.

Clean Air Act Amendments of 1990

Legislation passed in 1990 which amended the 1970 Air Act. It required further measures to be taken to fight smog, acid rain, and toxic emissions.

Economic Espionage Act

Legislation passed in 1996 that makes it a federal crime to steal trade secrets.

caveat emptor

Literally "Let the buyer beware," a doctrine referring to a time in which consumers' legal responsibility to accept the consequences of their product choices was greater than it is today, as consumers were held to the ideal of being knowledgeable, shrewd, and skeptical. Repudiated in the early twentieth century on grounds of its unrealistic assumptions about consumer knowledge, competence, and behavior.

Bakke v. Regents of the University of California

The supreme court's first major ruling on affirmative action. In 1978 the Supreme Court ruled in favor of Bakke, disallowing the use of explicit racial criteria to set rigid quotas and excluding non-preferred groups from competition.

Layoff

The temporary unemployment experienced by hourly employees and implies that they are "subject to recall."

Drug testing

The testing of employees or potential employees to determine if they are using illegal or banned substances. Drug-testing raises questions about privacy and informed consent, test reliability, and job relevance.

regulatory approach

The use of direct public regulation to control action.

abuse of official position

The use of one's official position for personal gain that violates one's obligations to the firm or organization.

Puffery

The use of superlatives and subjective praise in advertisements.

puffery

The use of superlatives and subjective praise in advertisements.

bribe

To pay a person to violate his or her official duties, or to perform an action that is inconsistent with the person's work contract or job responsibilities or with the nature of the work the person has been hired to do.

disparate treatment

Treating individuals differently because of sex, race, religion, color, or national origin.

Which of the following is a correct statement about union activities?

a sympathetic strike occurs when workers who have no particular grievance of their own and who may or may not have the same employer decide to strike in support of others

The Hawthorne effect shows

attentions and recognition can enhance worker productivity and motivation

Many major employers routinely monitor the performance of their employees through the computers and telephones they use. The one check that they can do is

check the number of keystrokes that word processors enter during the day

When an employee's interests are likely to interfere with the employee's ability to exercise proper judgment on behalf of the organization, what exists?

conflict of interest

Which statement has the proper perspective about the testing of employees by a business?

drug testing can only be defensible when it is really pertinent to employee performance and when there is a lot at stake

According to William F. Baxter, we ought to respect the "balance of nature" and "preserve the environment" even if doing so brings no benefit to human beings.

false

According to law professor Christopher D. Stone, the relationship between corporate management and its shareholders is identical with the relationship between you and an investment advisor.

false

Advocates of a "naturalistic ethic" believe that penguins are important only because people like them.

false

Business is right to insist that accidents occur exclusively as a result of product misuse and that it is thereby absolved of all responsibility

false

It is not logical for corporations to acknowledge that business should be conducted morally.

false

Legal paternalism is the doctrine that the law should not be used to restrict the freedom of individuals for their own good

false

Manuel Velasquez claims that the corporate internal decision structure of a corporation shows that a corporation can have both intentions and intentionality.

false

The disparity between private industrial costs and public social costs is what economists call an "internality."

false

When it comes to protecting animal rights, the United States is far ahead of Europe.

false

William T. Blackstone rejects the idea that each person has a human right to a livable environment on the grounds that it is technically infeasible.

false

Choose the factual precept concerning wages:

a fari wage presupposes a fair work contract

A corporate boycott occurs when an organized body of workers withholds its labor to force an employer to comply with its demands.

F

A primary boycott occurs when people refuse to patronize companies that handle products of struck companies.

F

According to published statistics, each year in the United States nearly 100,000 workers are killed on the job.

F

An individual with great strength is an equal with the employer in the negotiation process.

F

Employees have a legal right to refuse to work when it exposes them to imminent danger.

F

Fatigue and stress is less of a health problem than it used to be.

F

Inbreeding refers to longevity on a job or with a firm.

F

Notification of employee monitoring constitutes consent on the part of the employee to be monitored.

F

OSHA requires safeguards whether or not they are "feasible."

F

Parental leave and flexible work arrangements always hurt the bottom line, however much they may benefit parents.

F

Sympathetic strikes have very little power.

F

The Employee Polygraph Protection Act permits most private employers to use lie detectors in "pre-employment testing.

F

The Wagner Act of 1935 permitted firing workers because of union membership or union activities.

F

There is a general consensus among philosophers and lawyers about how to define the right to privacy.

F

When most people fire another employee, they do it with great joy.

F

Equal Employment Opportunity Commission (EEOC)

Federal agency that enforces the 1964 Civil Rights Act, the Age Discrimination in Employment Act, the Americans with Disabilities Act, and other federal employment discrimination laws.

Firing

For-cause dismissal, including the result of employee theft, gross insubordination, release of proprietary information.

AFL-CIO

Formed in 1955 with the merger of The American Federation of Labor and the Congress of Industrial Organizations; it is a confederation of trade unions, which is now beginning to work with non-unionized sectors such as worker advocacy groups.

free-rider problem

Shirking responsibility by rationalizing that the impact of a few individuals, or a few companies, makes little difference given the overall effort of others.

A workplace environment in which employees are treated fairly and their inherent dignity respected is compatible with a firm's business goals.

T

According to common law, unless there is an explicit contractual provision to the contrary, every employment is employment at will and either side is free to terminate it at any time without advance notice or reason.

T

An early 1970s government survey of worker dissatisfaction identified the lack of opportunities to be one's own boss as one of the three chief sources of worker dissatisfaction.

T

Any drug-testing program, assuming it is warranted, must be careful to respect the dignity and rights of the persons to be tested.

T

As a general rule, the burden is on an organization to establish the legitimacy of infringing on what would normally be considered the personal sphere of the individual

T

Businesses often claim polygraphs are a fast and economical way to verify the information provided by a job applicant.

T

Due process requires specific and systematic means for workers to appeal discharge or disciplinary decisions.

T

From the beginning, unions have been driven by an attempt to protect workers from abuses of power at the hands of employers.

T

If a polygraph test is 95 percent accurate, there are unlikely to be any "false positives."

T

If employees who don't join the union get the same benefits as union members, this raises a question of fairness.

T

In 1928, U.S. Supreme Court Judge Louis D. Brandeis described the right to privacy, or "the right to be left alone," as "the right most valued by men."

T

In a handful of American cities local ordinances prohibit discrimination against those who are short or overweight.

T

Job performance and the fairness of the work contract are relevant to the issue of fair wages.

T

Just cause requires that reasons for discipline or discharge related directly to job performance.

T

Labor historians generally consider the Knights of Labor (K of L), established in 1869, as the first truly national trade union.

T

No set of assumptions about human nature is absolutely correct or incorrect, nor is there one perfectly right way to manage.

T

One of the chief concerns of nepotism is the disregard of managerial responsibilities to the organization and of fairness to other employees.

T

One study suggests a positive correlation between job satisfaction and longevity

T

Privacy is widely acknowledged today to be a fundamental right

T

The reliability of a test refers to the quality of exhibiting a reasonable consistency in results obtained.

T

Traditionally, the obligations between a business organization and its employees could be boiled down to "A fair wage for an honest day's work."

T

When used properly, personality tests can help screen applicants for jobs by indicating areas of adequacy and inadequacy.

T

When weighing the decisions to terminate employees, companies need to remember that employment affects families and communities, not just individuals.

T

false positives

Test results that falsely indicate that people who are telling the truth to be liars.

personality tests

Tests, such as The Myers-Briggs Type Indicator, that are frequently given by companies to determine whether prospective employees are emotionally mature, get along well with others, and have a good work ethic, and whether they would fit in with the organization.

Food and Drug Administration (FDA)

Regulatory body that protects consumers against impure and unsafe foods, drugs, and cosmetics.

Just cause

Requires that reasons for discipline or discharge deal directly with job performance.

Ecology

The science of the interrelationships among organisms and their environments.

Conflicts of interest

The situation that arises when employees at any level have special or private interests that are substantial enough to interfere w/ their job duties

The proper approach to promote safety is found in the "hidden culture" which is

a culture that is proactively oriented toward safety

Conscious and unconscious biases and stereotypes are as the English philosopher Francis Bacon (1561-1626) called

"idols of the mind"

MacPherson v. Buick Motor Car

1916 case that expanded the liability of manufacturers for injuries caused by defective products.

FTC v. Standard Education

1937 case that moved the law away from the reasonable-person standard.

Brown v. Board of Education

1954 U.S. Supreme Court case that decided racially segregated schooling was unconstitutional, and rejected the older doctrine that "separate but equal" facilities were legally permissible.

Sarbanes-Oxley Act

Act passed in 2002 which protects employees who report possible securities fraud, making it unlawful for companies to discharge, harass or discriminate against them in any way.

corporate campaign

A pressure tactic by organized labor in which unions enlist the cooperation of a company's creditors to pressure the company to allow its employees to unionize or to comply with other union demands.

Environmental Protection Agency

A regulatory agency charged with setting and monitoring environmental standards, and with implementing programs to achieve its goals.

Environmental Protection Agency (EPA)

A regulatory agency charged with setting and monitoring environmental standards, and with implementing programs to achieve its goals.

card check

A way for workers to unionize by signing authorization forms or "cards" stating they want union representation.

A kickback is a kind of bribe A) True B) False

A) True

A workplace environment in which employees are treated fairly and their inherent dignity respected is compatible with a firm's business goals A) True B) False

A) True

According to Norman Bowie, a discussion of whistle blowing in the 1990s parallels the discussion of civil disobedience in the 1960s A) True B) False

A) True

An early 1970s government survey of worker dissatisfaction identified in the lack of opportunities to be one's own boss as one of the three chief sources of worker dissatisfaction A) True B) False

A) True

Any drug-testing program, assuming it is warranted, must be careful to respect the dignity and rights of the persons to be tested A) True B) False

A) True

The general proposition that a firm has a legitimate interest only in employee behavior that significantly influences work performance applies equally to off-the-job conduct A) True B) False

A) True

The issue of comparable worth pits against each other two cherished American values: the ethic of nondiscrimination verses the free enterprise system A) True B) False

A) True

Traditionally, the obligations between a business organization and its employees could be boiled down to "A fair wage for an honest day's work." A) True B) False

A) True

When faced with a moral decision, employees should follow the two-step procedure of identifying the relevant obligations, ideals, and effects, and then deciding where the emphasis should lie among these considerations. A) True B) False

A) True

Out of these four, which one is the only correct statement concerning OSHA? A) critics call OSHA a "toothless tiger" B) OSHA states the key to worker safety is improved engineering C) OSHA says few accidents are caused by sleep deprivation and...

A) critics call OSHA a "toothless tiger"

Affirmative action, comparable worth, and sexual harassment are connected to A) job discrimination B) job description C) job performance D) job analysis

A) job discrimination

The Sarbanes-Oxley Act marked an important advance for several reasons, one of which is that it A) makes it illegal for executives to retaliate against employees who report possible violations of federal law. B) provides penalties for blowing the whistle illegitimately or maliciously. C) reduces the law's protection of employees who disclose securities fraud D) makes it easier to fire whistle blowers

A) makes it illegal for executives to retaliate against employees who report possible violations of federal law.

Today, most large corporations not only accept the necessity of affirmative action but also find that ____ benefits when they make themselves more diverse? A) the bottom line B) the morale of the company C) the law department D) the managers

A) the bottom line

U.S. companies have a history of paying off foreign officials for business favors. Such acts were declared illegal by A) the Foreign Corrupt Practices Act of 1977 B) the Vice President C) the United Nations D) the U.S. customs department

A.) the Foreign Corrupt Practices Act of 1977

Which statement is true about the hiring and employment process?

According to common law, unless there is an explicit contractual provision to the contrary, every employment is employment "at will."

Wagner Act

Act passed by Congress in 1935 that guarantees employees the right to organize and join unions and to bargain collectively through representatives of their own choosing. Also called the National Labor Relations Act.

National Labor Relations Act

Act passed by Congress in 1935 that guarantees employees the right to organize and join unions and to bargain collectively through representatives of their own choosing. Also called the Wagner Act.

Taft-Hartley Act

Act passed by Congress in 1947, which amended the National Labor Relations Act. Taft-Hartley outlaws closed shops (which hire only union members) and permits individual states to ban union shops (which require employees to join the union within a specified time after being hired).

Employee Polygraph Protection Act

Act passed by Congress which prohibits most private employers from using lie detectors in the hiring process.

Which act provides sweeping new legal protection for employees who report possible securities fraud, making it unlawful for companies to "discharge, demote, suspend, threaten, harass, or in any other manner discriminate against" them? A) Foreign Corruption Act B) U.S. vs. O'Hagan C) Sarbanes-Oxley Act of 2002 D) Economic Espionage Act

C) Sarbanes-Oxley Act of 2002

According to the traditional law of agency, which statement is true? A) no moral value is more important than loyalty, whether to a person or an organization B) law of agency is not legal concept but a moral standard of loyalty that employees today seldom follow C) employees are under a legal obligation to act loyally and in good faith to carry out lawful instructions. D) an employee's work contract is irrelevant to his or her moral obligations for legal reasons.

C) employees are under a legal obligation to act loyally and in good faith to carry out lawful instructions.

"Corporate in fighting", "management over power struggles", "maneuvering and politics and power grabbing" and "Machiavellian intrigues" are all phrases, H. Ross Perot, uses to describe A) the reality of family life today B) the reality of the drive into work C) the reality of corporate life today D) the reality of the lunch room

C) the reality of corporate life today

Which statement is true about the hiring and employment process? A) in validating job specifications, a firm lists all pertinent details about a job, including its duties, responsibilities, working conditions and physical requirements B) a job description permits employers to rely on the preferences of their customers as a reason for discriminatory employment practices C) a job specification describes the qualifications an employee needs, such as skills, educational experience, appearance, and physical attributes D) according to the common law, unless there is an explicit contractual provision to the contrary, every employment is employment "at will".

D) according to the common law, unless there is an explicit contractual provision to the contrary, every employment is employment "at will".

One of the three chief sources for dissatisfaction in the workplace is A) lack of opportunities to have a company vehicle B) lack of opportunities to be promoted faster C) lack of opportunities to have one's own office D) lack of opportunities to be one's own boss

D) lack of opportunities to be one's own boss

Insider trading is A) the name of a baseball card shop B) knowing when to make the best buy C) giving great advice on a deal D) the buying or selling of stocks (or other financial securities) by business "insiders" on the basis of information that has not yet been made public and is likely to affect the price of the stock.

D) the buying or selling of stocks (or other financial securities) by business "insiders" on the basis of information that has not yet been made public and is likely to affect the price of the stock.

According to David Ewing, two factors explain the absence of civil liberties and the prevalence of authoritarianism in the workplace. Which of the following is one of them? A) employer resistance to unionization B) the common law doctrine of eminent domain C) discriminatory employment practices due to strict constructionist interpretations of the Constitution D) the rise of personnel engineering and professional management

D) the rise of personnel engineering and professional management

pollution permits

Designed to help resolve the cost-allocation problem of environmental improvement, companies are charged for the amount of pollution they produce by selling or auctioning off permits in which companies buy the right to discharge pollutants into the air.

job discrimination

Making an adverse decision regarding an employee or job applicant based on his or her membership in a certain group as opposed to individual merit, where the decision rests on prejudice, false stereotypes, or the assumption that the group is in some way inferior and does not deserve equal treatment.

exaggeration

Making claims unsupported by evidence.

exaggeration (in advertising)

Making claims unsupported by evidence.

Express warranties

Obligations to purchasers that sellers assume. Express warranties are the claims that sellers explicitly state. Implied warranties include the claim, implicit in any sale, that a product is fit for its ordinary, intended use.

warranties, express and implied

Obligations to purchasers that sellers assume. Express warranties are the claims that sellers explicitly state. Implied warranties include the claim, implicit in any sale, that a product is fit for its ordinary, intended use.

Used properly, personality tests serve two purposes in the work place. Which of the following is one of those purposes?

Personality tests help screen applicants for jobs by indicating areas of adequacy and inadequacy

affirmative action programs

Programs designed to correct imbalances in employment that exist directly as a result of past discrimination.

Hawthorne effect

Referring to experiments conducted in the 1920s on a group of Hawthorne factory workers of the Western Electric Company, it is a psychological phenomenon in which workers displayed increased productivity due to the attention they received from the researchers, rather than the variables of the experiment itself.

Test reliability

Refers to whether test results are replicable—that is, whether a subject's scores will remain relatively consistent from test to test.

Test validity

Refers to whether test scores correlate with performance in some other activity—that is, whether the test measures the skill or ability it is intended to measure.

Federal Trade Commission

Regulatory body that protects consumers against deceptive advertising and fraudulent commercial practices.

Federal Trade Commission (FTC)

Regulatory body that protects consumers against deceptive advertising and fraudulent commercial practices.

Food and Drug Administration

Regulatory body that protects consumers against impure and unsafe foods, drugs, and cosmetics.

civic activities

The activities that firms and companies encourage, and often expect, their employees to participate in during off-duty hours, such as running for the local school board, joining a community service organization, or helping at a charity. Employee volunteer programs and other corporate-sponsored civic activities can infringe on the right to privacy.

insider trading

The buying or selling of stocks (or other financial securities) by business "insiders" on the basis of information that has not yet been made public and is likely to affect the price of the stock.

right to a livable environment

The claim that it is a human right to exist in a livable environment, which is essential in order to fulfill human capacities.

Informed consent

The concept that an employee should agree to the proposed conditions of their employer knowledgeably and voluntarily. This implies deliberation and free-choice. Deliberation requires that employees be provided all significant facts concerning the information-gathering procedure and understand its consequences. Free choice entails that the decision to participate must be voluntary and uncoerced.

job satisfaction

The contentment level that individuals feel in relationship to their work. Satisfaction in one's job usually depends on intrinsic factors such as a sense of accomplishment, responsibility, recognition, self-development, and self-expression.

self-interest

The desire to satisfy one's own interests.

strict product liability

The doctrine that the manufacturer of a product has legal responsibilities to compensate the user of that product for injuries suffered because the product's defective condition made it unreasonably dangerous regardless of whether the manufacturer was negligent in permitting that defect to occur.

comparable worth

The doctrine which holds that women and men should be paid on the same scale not only for doing the same or equivalent jobs but also for doing different jobs involving equal skill, effort, and responsibility.

monitoring of employees

The gathering of employee information, often without consent. While employees are often notified of monitoring, such as video tapes or bugs placed in employee restrooms, locker rooms, and dressing rooms, notification not constitute consent and as such constitutes a threat to privacy.

Due care

The idea that consumers and sellers do not meet as equals and that the consumer's interests are particularly vulnerable to being harmed by the manufacturer, who has knowledge and expertise the consumer does not have.

due care

The idea that consumers and sellers do not meet as equals and that the consumer's interests are particularly vulnerable to being harmed by the manufacturer, who has knowledge and expertise the consumer does not have.

consumer sovereignty

The idea that consumers should and do control the market through their purchases.

legal paternalism

The idea that the law may justifiably be used to restrict the freedom of individuals for their own good.

Privacy

The individual right to control certain information about themselves, to shelter aspects of their lives from public scrutiny, and to make personal decisions autonomously, free from illegitimate influence.

merchantability

The law's term for an implied warranty is the "implied warranty of merchantability," which claims that in any sale that a product is fit for its ordinary intended use.

off-the-job conduct

The manner in which employees behave during the time they are not performing their job.

job stress

The mental and physical ill-health and harm that results from one's work commitments and responsibilities.

Position elimination

The permanent elimination of a job as a result of workforce reduction, plant closing, or departmental consolidation.

quantity surcharges

The practice of selling "economy size" items for a higher per unit price than their smaller counterparts.

job specification

The qualifications an employee needs for a position, such as the pertinent skills, background, education, or work experience.

Price gouging

When a seller exploits a short-term situation in which buyers have few purchase options for a much needed product by raising prices substantially.

price gouging

When a seller exploits a short-term situation in which buyers have few purchase options for a much needed product by raising prices substantially.

Quid-pro-quo harassment

When a supervisor makes an employee's employment opportunities conditional on the employee's entering into a sexual relationship with, or granting sexual favors to, the supervisor.

concealment of facts

When advertisers suppress information that is unflattering to their products, by neglecting to mention these facts or directing consumers' attention away from the information.

concealment of facts (in advertising)

When advertisers suppress information that is unflattering to their products, by neglecting to mention these facts or directing consumers' attention away from the information.

sexual favoritism

When an employee benefits by entering into a sexual relationship with a supervisor or manager.

company loyalty

When employees willingly make sacrifices for their organization above and beyond their job description.

civil disobedience

When one's duty to obey the law is overridden by other moral obligations.

incentive approach

When the government encourages action in a certain manner through the use of incentives instead of regulation.

In the interview process, the interview should avoid rudeness, coarseness, condescension, and

hostility

Conflicts of interest may exist when employees have financial investments

in suppliers, customers, or distributors with whom their organizations do business.

When it comes to obtaining information about employees, a key concept is

informed consent

When employees at all occupational levels are asked to rank what is important to them, the order that they put them in is:

interest work; sufficient help, support and information to accomplish the job; enough authority to carry out the work; and good pay

The hiring process needs to include screening, testing, and

interviewing.

One of the three chief sources for dissatisfaction in the workplace is

lack of opportunities to be one's own boss

The United States has more of what per employee than any other industrial nation?

managers

The right to privacy of employees

may conflict with an organization's legitimate interests

Unions employ two kinds of boycotts to enforce their demands. These two kinds of boycotts are

primary and secondary

The one key questionable premise underlying personality tests is

that all individuals can usefully and validly be placed into a relatively small number of categories of personality types and character traits

Insider trading is

the buying or selling of stocks (or other financial securities) by business "insiders" on the basis of information that has not yet been made public and is likely to affect the price of the stock

According to David Ewing,

the corporate invasion of employees\' civil rights is rampant.

"Corporate infighting," "management power struggles," "maneuvering and politics and power grabbing" and "Machiavellian intrigues" are all phrases H. Ross Perot uses to describe

the reality of corporate life today