Ch. 2

Question 1

Business ethics

Answer 1

That constitutes as right or wrong behavior and the application of moral principles in a business context

Question 2

Moral minimum

Answer 2

Minimum degree of ethical behavior expected of a business person which is usually defined as compliance with the law.

Question 3

Stock buyback

Answer 3

Purchase of shares of a company’s own stock by that company on the open market

Question 4

Stock options

Answer 4

Agreement that grants the owner the option to buy a given number of shares of stock at a set price, usually within a specific time period.

Question 5

Ethical reasoning

Answer 5

Reasoning process in which an individual links his or her moral convictions or ethical standards to the particular situation at hand

Question 6

Categorical imperative

Answer 6

An ethical guideline developed by Immanuel Kant under which an action is evaluated in terms of what would happen if everybody else in the same situation or category acted the same way

Question 7

Ethics

Answer 7

Moral principles and values applied to social behavior

Question 8

Police powers

Answer 8

Powers passed by the states to protect or promote public order, health, safety, morals and general welfare.

Question 9

Commerce clause

Answer 9

The provision in Article 1 section 8 of the U.S. Constitution that gives congress the power to regulate interstate commerce.

Question 10

A court of equity can issue a decree for specific performance which is…

Answer 10

An order to perform what was promised.

Question 11

Substantive law

Answer 11

All laws that define, describe, regulate and create legal rights and obligations.

Question 12

Procedural law

Answer 12

All laws that establish the methods of enforcing the rights established by substantive law.

Question 13

Cyber law

Answer 13

Informal term used to refer to all laws governing electronic communications and transactions particularly those conducted via the Internet.

Question 14

Civil law

Answer 14

The branch of law enforcement of all private or public rights, as opposed to criminal matters.

Question 15

Civil law system

Answer 15

A system of law derived from roman law that is based in codified laws (rather than on case precedents)

Question 16

Criminal law

Answer 16

The branch of law that defines and punishes wrongful actions committed against the public.

Question 17

National law

Answer 17

Law that pertains to a particular nation (as opposed to international law)

Question 18

International law

Answer 18

The law that governs relations among nations

Question 19

Key difference between national and international law

Answer 19

Government authorities can enforce national law

Question 20

Federal form of government

Answer 20

A system of government in which the states form a union and sovereign power is divided between central government and the member states.

Question 21

Checks and balances

Answer 21

Allows each branch (executive, legislative, judicial) to limit the actions of the other two branches, thus preventing any one branch from exercising too much power.

Question 22

Supremacy clause

Answer 22

The requirement in Article 6 of the U.S. Constitution that provides that the constitution, laws, and treaties of the U.S. Are the “supreme law of the land”.

Question 23

Preemption

Answer 23

Doctrine under which certain federal laws preempt or take precedence over conflicting state or local laws.

Question 24

Symbolic speech

Answer 24

Nonverbal expressions of speech which includes gestures, movements, and articles of clothing, is given substantial protection by the courts.

Question 25

Compelling government interest

Answer 25

A test of constitutionality that requires the government to have convincing reasons for passing any law that restricts fundamental rights.

Question 26

Filtering software

Answer 26

Computer program that is designed to block access to certain websites based on their content.

Question 27

Establishment clause

Answer 27

Provision in the first amendment that prohibits government from establishing any state sponsored religion or enacting any law that promotes religion or favors one religion over another.

Question 28

Free enterprise clause

Answer 28

Provision in the first amendment that prohibits the government from interfering with people’s religious practices.

Question 29

Equal protection clause

Answer 29

Provision in the 14th amendment that requires state governments to treat similarly situated individuals in a similar manner.

Question 30

The USA patriot act

Answer 30

Passed by congress after the events of 9/11 and reauthorized in 2006. Gives government officials increased authority to monitor internet activities.

Question 31

Utilitarianism

Answer 31

Approach to ethical reasoning in which an action is evaluated in terms of its consequences for those whom it will affect.

Question 32

Principle of rights

Answer 32

Belief that human beings have certain fundamental rights.

Question 33

Conflicting rights

Answer 33

There are often conflicting rights and people may disagree on which rights are most important.

Question 34

Cost-benefit analysis

Answer 34

Decision making technique that involves weighing the costs of a given action against the benefits of that action.

Question 35

Corporate social responsibility

Answer 35

The idea that corporations can and should act ethically and be accountable to society for their actions.