During college, Elyssa Wood eamed extra money by using her culinary skills to cater special parties. After graduation, she decided to turn her part-time job into a full-time business that she plans to expand in the future. In the meantime, she wants to maintain complete control of the business. She will most likely organize the business as a a. master limited partnership. b. corporation. c. general partnership. d. sole proprietorship. e. cooperative. QUESTION 41 According to the theory of comparative advantage, countries gain from trade because a. Trade makes firms behave more competitively, reducing their market power. b. All firms can take advantage of cheap labor. c. Output per worker in each firm increases. d. World output can rise when each country specializes in what its does relatively best. e. Every country has an absolute advantage in producing something. Which of he following is NOT a reason to erect trade barriers? a. Reduce reliance on foreign suppliers. b. Protect local jobs. c. Promote import activity. d. Encourage local production. QUESTION 43 Where does social responsibility of business have to begin? a. Government b. Management c. Consumers. d. Consumer protection groups. e. Society. Besides tariffs, a govemment can use a number of other tools to restrict trade. Which of the following is NOT a tool aimed at restricting trade? a. import quota b. embargo c. exchange control d. subsidy e. custom regulation QUESTION 45 Globalization is about the growing interdependence of the world's economies, cultures, and populations. True False QUESTION 46 In addition to social audits conducted by companies themselves, what types of groups serve as watchdogs to monitor how well companies enforce their ethical and social responsibility policies: a. Socially conscious investors b. Environmentalists In addition to social audits conducted by companies themselves, what types of groups serve as watchdogs to monitor how well companies enforce their ethical and social responsibility policies: a. Socially conscious investors b. Environmentalists c. Socially conscious research organizations d. Union officials e. Customers f. All of the above QUESTION 47 A(n) organization is characterized by a relatively low degree of job specialization, loose departmentalization, few levels of management, wide spans of control, decentralized decision making, and a short chain of command. a. mechanistic b. hierarchical c. line According to the theory of comparative advantage, countries gain from trade because a. Trade makes firms behave more competitively, reducing their market power. b. All firms can take advantage of cheap labor. c. Output per worker in each firm increases. d. Wordd output can rise when each country specializes in what its does relatively best. e. Every country has an absolute advantage in producing something QUESTION 49 Which one of the following approaches to creating an ethical and socially responsible workplace is likely to be the most powerful? a. Including a statement about ethics and social responsibility in the employee handbook. b.Placing posters about ethics throughout the organization c. Passing out buttons with the statement "Just Say No to Bad Ethics" d. Immediately report all suspicious behavior to top management e. Top management acting as models of the right behavior Click Save and Submit to save and subimit. Click Save All Answers to save all answers. Corruption practices in developing nations include payoffs to government officials in order to get an edge on competing better in one's industry. Which of the following statements best describes the ethics just described? a. Bribery is commonplace and necessary in socialistic nations. b. Bribery is acceptable if everyone is doing it As a businessperson, you have to find the right balance in whatever nation you want to sell your products c. Campaign contributions are not considered bribes, particularly if everyone in your industry is doing the same d. Ethics plays an important role in a capitalistic system and in the freedom to compete. Corruption can hinder economic growth