A Market-Based Approach of Paying Higher Prices to Producers for Goods

question 16

Multiple Choice

A market-based approach of paying higher prices to producers for goods exported from developing countries in an effort to promote sustainability and to ensure the people in developing countries receive better trading conditions is which of the following?

• A) social audit
• B) ethical business
• C) fair trade
• D) corporate philanthropy

---

Definitions:

Liability

refers to the legal responsibility for one's actions or for causing harm, which can result in having to pay damages or fulfill certain obligations.

Bailor

An individual who temporarily transfers possession of a piece of personal property to another (the bailee) under an agreement.

Gross Negligence

An act committed with extreme reckless disregard for the property or life of another person.

Bailee

A person or entity that temporarily holds property belonging to another under a bailment agreement, usually for a specific purpose.