That Some Firms Are Engaged in More Than One Type

question 275

Multiple Choice

That some firms are engaged in more than one type of business is explained, in some cases, by

• A)moral injunctions such as the Golden Rule.
• B)the existence of charitable organizations.
• C)government regulations that discourage the internalization of externalities.
• D)the fact that the internalization of externalities sometimes coincides with the self-interest of the relevant parties.

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Definitions:

Moral Reasoning

The process by which individuals make decisions about what is right and wrong based on personal, societal, or ethical principles.

Formal Operations

The stage of cognitive development, according to Piaget, where individuals are able to think abstractly, reason logically, and plan systematically.

Abstract

A brief summary of a research article, thesis, review, or other document that outlines the main points.

Object Permanence

The realization in early childhood that entities persist even when they are out of sight, sound, or touch.