What Conclusion About Ethical Corporate Behavior Can Be Drawn from the Lawsuits

question 97

Multiple Choice

What conclusion about ethical corporate behavior can be drawn from the lawsuits and payouts that R.J. Reynolds, Lorillard, and Philip Morris continue to be subject to?

• A) A culture of unethical behavior can be more costly than specific actions.
• B) Even if upper management initiates unethical behavior, lower-level employees often pay the highest costs.
• C) Just because an organization's behavior is legal does not mean there will not be ethical and financial costs.
• D) State and local governments can exact steep costs even from international corporations.

Evaluate the effects of price changes on the demand for labor and other resources, considering the substitution and output effects.

Comprehend the role of marginal revenue product (MRP) and marginal resource cost (MRC) in resource hiring decisions.

Understand the implications of the law of diminishing returns on the MRP curve and hiring practices.

Identify how the productivity and market value of resources influence their demand.

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Definitions:

Moral Realistic Thought

A stage of moral development where individuals believe that rules are absolute and that morality is determined by the consequences of actions.

Transductive Thought

A type of reasoning commonly seen in children where conclusions are made based on specific examples, rather than general logic.

Formal Operational

A stage in Jean Piaget's theory of cognitive development during which individuals develop the ability to think abstractly and logically.

Systematically

Done or applied in a methodical and organized manner.