Which of the Following Arguments Do Critics Use to Suggest

question 111

Multiple Choice

Which of the following arguments do critics use to suggest that globalization is a contributing factor to an increase in pollution?

• A)Globalization results in a decrease in the amount of activity that takes place in companies that do not have adequate pollution control technology.
• B)Globalization has caused local governments to relax their existing environmental regulations.
• C)Firms from advanced nations move their manufacturing facilities to countries that have less stringent or no pollution controls to avoid the cost of regulation.
• D)Globalization shifts the focus of companies from pollution controls and environmental regulations to the challenges of managing their complex business structure.

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Definitions:

Event Studies

Empirical analyses performed to assess the impact of a particular event on the value of a firm, often through the study of stock prices.

Stock Price Reactions

The changes in stock prices in response to market news, corporate actions, or economic indicators, reflecting investor sentiment.

News

Information about recent events or developments in a particular area or activity.

Efficient Market

A market hypothesis stating that stock prices fully reflect all available information, making it impossible to have consistently higher returns.