PHIL 216 BUSINESS ETHICS NDSU
EXAM QUESTIONS AND ANSWERS
GRADED A+ 2025/2026
Efficient markets guarantee that an ethically worthy outcome has been achieved. - ANS False
We learn about market failures and thereby prevent harms in the future only by sacrificing the
first generation as a means for gaining this information. - ANS True
Prisoners' dilemma cases are examples of situations in which cooperation does not have a more
optimal outcome than competition. - ANS False
The significance of the moral minimum approach lies in its recognition that compliance with the
law is insufficient for being an ethically responsible business. - ANS True
The stakeholder theory of corporate social responsibility is totally incompatible with the
utilitarian ethical theory because the stakeholder concept requires balancing the interests of all
the parties affected by business decisions. - ANS False
Bowie's Kantian model of corporate social responsibility obliges managers to do no harm but
they must also be prepared at times to do some good or prevent some harm., - ANS True
1 @COPYRIGHT 2026 ALLRIGHTS RESERVED.
, According to the private property defense of the economic model of corporate social
responsibility any use of a corporation's resources for any purpose other than maximizing
profits is a violation of the owners' property rights and amounts to theft. - ANS ,True
If the costs of externalities like air pollution ground water contamination and depletion, soil
erosion, and nuclear waste disposal are borne by parties who are not involved in the exchange
between buyer and seller, the exchange price does not represent an equilibrium between true
costs and benefits., - ANS True
The free market or neoclassical, theory of corporate social responsibility relies on utilitarianism
and the concepts of individual rights to freedom and property for its ethical justification., -
ANS True
The most influential theory of corporate responsibility of the past century is - ANS the
stakeholder theory
Identify a true statement according to the economic model of corporate social responsibility. -
ANS The ethical goal of economy is to maximize happiness; understood as optimizing the
satisfaction of individual preferences or wants.
The pursuit of maximum profits - ANS which is the primary ethical responsibility of business
management
Challenges to the utilitarian defense of the economic model of corporate social responsibility
focus on the appropriateness of the goal of ensuring maximum satisfaction of consumer
demands as - ANS amoral economic goals
The costs of externalities - ANS borne by parties who are not a part of the exchange between
seller and buyer, cause,the exchange price to represent a disequilibrium between true costs and
benefits
Because of the absence of a pricing mechanism in the case of many public goods - ANS there
is no guarantee that markets result in the,optimal satisfaction of the public interest
2 @COPYRIGHT 2026 ALLRIGHTS RESERVED.
EXAM QUESTIONS AND ANSWERS
GRADED A+ 2025/2026
Efficient markets guarantee that an ethically worthy outcome has been achieved. - ANS False
We learn about market failures and thereby prevent harms in the future only by sacrificing the
first generation as a means for gaining this information. - ANS True
Prisoners' dilemma cases are examples of situations in which cooperation does not have a more
optimal outcome than competition. - ANS False
The significance of the moral minimum approach lies in its recognition that compliance with the
law is insufficient for being an ethically responsible business. - ANS True
The stakeholder theory of corporate social responsibility is totally incompatible with the
utilitarian ethical theory because the stakeholder concept requires balancing the interests of all
the parties affected by business decisions. - ANS False
Bowie's Kantian model of corporate social responsibility obliges managers to do no harm but
they must also be prepared at times to do some good or prevent some harm., - ANS True
1 @COPYRIGHT 2026 ALLRIGHTS RESERVED.
, According to the private property defense of the economic model of corporate social
responsibility any use of a corporation's resources for any purpose other than maximizing
profits is a violation of the owners' property rights and amounts to theft. - ANS ,True
If the costs of externalities like air pollution ground water contamination and depletion, soil
erosion, and nuclear waste disposal are borne by parties who are not involved in the exchange
between buyer and seller, the exchange price does not represent an equilibrium between true
costs and benefits., - ANS True
The free market or neoclassical, theory of corporate social responsibility relies on utilitarianism
and the concepts of individual rights to freedom and property for its ethical justification., -
ANS True
The most influential theory of corporate responsibility of the past century is - ANS the
stakeholder theory
Identify a true statement according to the economic model of corporate social responsibility. -
ANS The ethical goal of economy is to maximize happiness; understood as optimizing the
satisfaction of individual preferences or wants.
The pursuit of maximum profits - ANS which is the primary ethical responsibility of business
management
Challenges to the utilitarian defense of the economic model of corporate social responsibility
focus on the appropriateness of the goal of ensuring maximum satisfaction of consumer
demands as - ANS amoral economic goals
The costs of externalities - ANS borne by parties who are not a part of the exchange between
seller and buyer, cause,the exchange price to represent a disequilibrium between true costs and
benefits
Because of the absence of a pricing mechanism in the case of many public goods - ANS there
is no guarantee that markets result in the,optimal satisfaction of the public interest
2 @COPYRIGHT 2026 ALLRIGHTS RESERVED.
