The Total Impact of Business Actions on Society at Large

question 24

Multiple Choice

The total impact of business actions on society at large is known as:

• A)social responsibility.
• B)risk.
• C)corporate governance.
• D)economic impact.

Understand the arguments for and against trade protectionism in various industries (e.g., infant industry, declining industries, national defense).

Conceptualize the effects of international trade on economic efficiency and opportunity costs.

Recognize strategies and consequences of dumping and other unfair trade practices.

Understand the characteristics and functions of forward and futures contracts.

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Definitions:

Rule of Reason

A doctrine developed by the United States Supreme Court in antitrust litigation, which states that not all actions deemed to restrain trade are automatically illegal, but must be evaluated on a case-by-case basis.

Joint Ventures

A business arrangement where two or more parties agree to pool their resources for the purpose of accomplishing a specific task or business activity, with profits and losses shared among them.

Sherman Act

A foundational antitrust law in the United States that outlaws monopolistic practices and promotes competition.

Felony

A serious criminal offense that is punishable by death or imprisonment for more than one year.