According to Milton Friedman, Which of the Following Is a Position

question 3

Multiple Choice

According to Milton Friedman, which of the following is a position opposing the stakeholder model of corporate social responsibility?

• A) Organizations can act effectively as moral agents for all company shareholders.
• B) The time, money, and attention diverted to social causes undermine market efficiency.
• C) It is socially responsible for companies to divert their efforts to social causes.
• D) The marketplace will ultimately determine the importance of social causes.
• E) All of these positions are in accordance with the positions of Milton Friedman.

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Definitions:

Bureau of Labor Statistics

A federal agency that provides a range of statistics including employment, wages, and productivity data, used for economic decision-making and analysis.

Fixed Basket

A set of goods and services whose quantities are fixed, used for calculating measures like the Consumer Price Index (CPI) to assess changes in the cost of living over time.

COLA

Cost of Living Adjustment, an increase in income to match rising prices in an attempt to maintain a person's standard of living.

CPI

The Consumer Price Index is an indicator that calculates the average weighted prices of a range of consumer goods and services, serving as a gauge for inflation.