Part 1 of 2 –
Question 1 of 40
Under the theory of due care, under what conditions should the distribution of a product be strictly controlled?
A. when selling to an international market
B. when the product is produced by a monopoly
C. when the product requires expertise to handle safely
D. when the product has a universal application
Question 2 of 40
Some advertisements that are intended to manipulate consumers violate what right?
A. the right to free speech
B. the consumer’s right to be treated as a free and equal rational being
C. the right to choose between competitors in a free market
D. the right to personal safety
Question 3 of 40
Which of the following is considered a valid criticism of the contract view?
A. Government regulation hinders its effectiveness.
B. The “invisible hand” of market forces makes it redundant.
C. The view assumes that the buyer and seller are equally qualified to evaluate the product.
D. Advertising effectively negates the validity of the contract.
Question 4 of 40
Which of the following is considered a valid challenge to the social cost view?
A. It allows consumers to sue manufacturers for their own clumsiness or incompetence.
B. It encourages unsafe use of products in hopes of large settlements.
C. It can be unfair to companies as it may punish them for unforeseeable effects.
D. It can negatively impact insurance companies, driving them out of business.
Question 5 of 40
The __________ theory of a business’s duties to consumers claims that a business has four main moral duties: the basic duty of (a) complying with the terms of the sales contract, and the secondary duties of (b) disclosing the nature of the product, (c) avoiding misrepresentation, and (d) avoiding the use of duress and undue influence.
Question 6 of 40
In the due care theory of manufacturer’s duties, the relationship between manufacturer and customer can be described as which of the following?
A. The manufacturer is in an unequal position to harm and take advantage of the customer.
B. They are equals.
C. The customer is in an unequal position to place demands on the manufacturer.
D. The manufacturer and the customer are separated by a regulating body.
Question 7 of 40
Psychological privacy is best described as:
A. freedom from being questioned about our opinions and beliefs.
B. the right to remain silent in a court of law.
C. the right to own our ideas and inventions.
D. freedom from having our personal thoughts and beliefs invadeD.
Question 8 of 40
The _________ of the manufacturer’s duties to consumers is based on the idea that consumers and sellers do not meet as equals and the consumer’s interests are particularly vulnerable to being harmed by the manufacturer.
A. duty to comply
B. contract view
C. consumer protection clause
D. due care theory
Question 9 of 40
Which group is considered vulnerable to advertising aimed at altering desires?
Question 10 of 40
Which of the following is NOT a strictly ethical criticism of advertising?
A. It can affect the consumer’s beliefs.
B. It can manipulate the desires of children.
C. It can use deception as a means of improving sales.
D. It can venerate materialistic values.
Question 11 of 40
Which of the following is NOT a key component of the right to privacy?
A. control over who is disclosing information about oneself
B. control over to whom information about oneself is disclosed
C. control over what information about oneself is disclosed
D. control over how much information about oneself is disclosed
Question 12 of 40
Which are the three main credit reporting companies?
A. Experian, Credex, and Your Credit
B. Experian, Real Credit, and Credibility
C. Experian, Equifax and Trans Union LLC
D. Experian, Exact and Specialty
Question 13 of 40
In the market approach to consumer protection, what would lead to higher safety standards in consumer products?
A. government regulation
B. inter-corporate agreements
C. foreign trade agreements
D. consumer demand
Question 14 of 40
What dubious advice does Credit Solutions initially give its clients?
A. not to pay their credit cards
B. to sell off all of their fungible assets
C. to max out their credit cards
D. to pay off their mortgage with their credit card
Question 15 of 40
Which view of customer protection is most opposed to government intervention?
A. duty of care theory
B. social cost theory
C. market theory
D. communist theory
Question 16 of 40
What is “market power?”
A. the ability for free markets to self-regulate
B. the energy wasted through needless competition
C. the ability of large firms to use their assets to control a market
D. the ability of marketing campaigns to affect consumer desires
Question 17 of 40
Caveat emptor is a Latin phrase used to mean what in modern business?
A. “The customer is always right.”
B. “You break it, you buy it.”
C. “Let the buyer beware.”
D. “Always be closing.”
Question 18 of 40
What is a “bait advertisement?”
A. an ad that is attached to free merchandise
B. an ad that lures customers into the store through curiosity
C. an ad that promises an item that is not actually available
D. an ad for earthworms, mealworms or minnows
Question 19 of 40
The consumers who think ahead, consider, and watch every penny they spend, knowing how their choices will affect their preferences are known as:
A. irrational utility minimizers
B. rational utility maximizers
C. rational consumption maximizers
D. irrational consumption maximizers
Question 20 of 40
Which of the following is NOT a necessary aspect of commercial advertising?
A. addresses a mass audience
B. communicates to potential buyers
C. induces the purchase of a product or service
D. contains information about the product or service
Part 2 of 2 – Lesson 7
Question 21 of 40
Which of the following is most responsible for the wage gap between men and women?
C. work experience
D. none of the above
Question 22 of 40
Which of the following is a utilitarian argument against discrimination?
A. Discrimination leads to an inefficient use of human resources.
B. Discrimination violates basic human rights.
C. Discrimination results in an unjust distribution of society’s benefits and burdens.
D. Discrimination violates the rule of free entry in a free market.
Question 23 of 40
Affirmative action programs begin with a(n)__________ in an organization.
A. review of past discrimination
B. utilization analysis of the major job classifications
C. compensation analysis of the major job classifications
D. review of employee backgrounds
Question 24 of 40
Kant would argue that humans should be treated as ends in themselves and never as a means to an enD. With respect to discrimination, this implies that people should be treated as what?
Question 25 of 40
Which is true of discrimination?
A. It must be intentional.
B. It must have a negative impact.
C. It must be individual.
D. It must be direct.
Question 26 of 40
Which occupation has the smallest proportion of women employed?
A. social workers
Question 27 of 40
What is an affirmative action program?
A. a program to increase employee morale and thereby improve utility
B. a program through which ethical behavior is recognized and rewarded
C. a program meant to correct imbalances in the demographics of a workforce
D. a program aimed to compensate individuals harmed by a product before they attempt to sue
Question 28 of 40
Recruitment practices that rely on the word-of-mouth referrals of present employees will tend to recruit:
A. highly qualified candidates.
B. a diverse group of candidates.
C. individuals who are equal in all relevant respects.
D. from the groups already represented.
Question 29 of 40
Critics claim that __________ actually harm(s) women and minorities by implying that they are so inferior to white males that they need special help to succeed.
A. on-the-job training
B. anti-discrimination policies
C. affirmative action
D. comparable worth programs
Question 30 of 40
In which of the following professions is the largest disparity in pay between the sexes?
A. healthcare support
B. construction and mining
C. sales and related
D. farming, fishing, and forestry
Question 31 of 40
Since the jobs women have historically taken pay low wages and salaries, proponents of ____________ programs attempt not to place women into higher paying jobs, but to increase the salaries of those jobs where women currently are employed.
A. Competitive Value
B. Competitive Position
C. Comparable Worth
D. Comparable Equity
Question 32 of 40
“It might be true that society as a whole would benefit by having some group discriminated against” is a/an _____ argument for discrimination.
Question 33 of 40
Arguments against discrimination are:
A. Utilitarian, rights, and justice arguments
B. Rights, entitlements, and fairness arguments
C. Justice and Kantian arguments
D. Civil and criminal
Question 34 of 40
Which of the following is NOT a condition for which affirmative action can be legally instituted?
A. a manifest racial imbalance
B. the allocation of funds of local government for contractors
C. an historic, persistent, and egregious underrepresentation of women
D. an egregious lack of diversity in an educational institution
Question 35 of 40
What is meant by the term “glass ceiling?”
A. a governmental program requiring upper management to be more transparent to their subordinates
B. the idea that lower level employees are always watching those above them
C. a metaphor for the fragility of the hierarchy of a large business
D. an invisible barrier that prevents advancement to women and minorities
Question 36 of 40
Discriminatory acts themselves can be categorized according to the extent to which they are intentional and:
A. manifest racial imbalance.
Question 37 of 40
Affirmative action programs are intended to do what?
A. force companies to hire women
B. eliminate the effects of past discrimination
C. make it easier for new immigrants to get jobs
D. help minority populations assimilate into the workforce
Question 38 of 40
An indication of discrimination exists when:
A. a disproportionate number of a certain group’s members hold less desirable positions despite their preferences and abilities.
B. a large number of a certain group’s members are enrolled in a comparable worth program.
C. promotion decisions are not always based on individual merit.
D. corporate decisions often have a harmful impact on the interest of employees.
Question 39 of 40
Which of the following is NOT one of the three basic elements of discrimination in employment?
A. the decision must derive from racial or sexual prejudice
B. the decision must not be the result of a comparable worth program
C. the decision must not be based on individual merit
D. the decision must have a harmful impact on the interest of employees
Question 40 of 40
Which of the following forms of employee discrimination is NOT legally protected in the United States?
A. discrimination by ability
B. discrimination by sex
C. discrimination by nationality
D. discrimination by race
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