Multiple Choice
Economist Adam Smith noted that in trade, different ethical standards seem to prevail in different situations. In a market environment where customers will never be seen again, there is a tendency towards:
A) market inefficiency.
B) sellers cheating on price or quality.
C) supply to not equal demand.
D) increased honesty in transactions.
Correct Answer:

Verified
Correct Answer:
Verified
Q9: The text notes that many firms that
Q28: What are some mechanisms for encouraging ethical
Q28: Milton Friedman's view about the corporate social
Q30: Corporate responsibility may require changing the mission
Q31: The optimal amount of shirking or opportunistic
Q32: Warranties:<br>A) are not important costs in the
Q33: Incentive problems in a business can easily
Q34: Compensating differentials for employees can be seen
Q37: Ethics can be defined as:<br>A) virtuous behavior.<br>B)
Q38: Many codes of ethics attempt to alter