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English Questions And Answers
"We have always known that needless self-interest was bad morals. We now know that it is bad economics," said American President Franklin D.Roosevelt in 1937 in the midst of the Great Depression. And
the world has learnt that enlightened self-interest is good economics all over again after the Great Recession of 2009. Americans are entering a period of social change as they are re-calibrating their sense of what
it means to be a citizen, not just through commerce. There is a new dimension to civic duty that is growing among Americans- the idea that they can serve not only by spending time in communities and
classrooms but by spending more responsibly. In short, Americans are beginning to put their money where their ideas are.
In a recent Poll most said they had consciously supported local or small neighborhood businesses and 40 percent said that they had purchased a product because they liked the social or political values of the
company that produced it. People were pany that produced it. People were alarmed about 'blood diamonds' mined in war zines and used to finance conflict in Africa. They were also willing to pay $2000 more
for a car that gets 35 miles per gallon than for one that gives less, though the former is more expensive but environment friendly. Of course consumers have done their own doing well by doing good calculation a
more expensive car that gives; better mileage will save them money in the long run and makes them feel good about protecting the environment. Moreover since 1995, the number of socially responsible
investment (SRI) mutual funds, which generally avoid buying shares of companies that profit from tobacco, oil or child labour has grown from 55 to 260. SRI funds now manage approximately 11 percent of all
the more invested in the US financial markets an estimated $2.7 trillion. This is evidence of a changing mindset in a nation whose most iconic economist Milton Friedman wrote in 1970 that a corporation's only
moral responsibility was to increase share holder profits.
At first the corporate stancewas defensive; companies were punished by consumers for unethical behavior such as discriminatory labour practices. The nexus of activist groups, consumers and government
regulation could not merely tarnish a company but put it out of business. But corporate America quickly discerned that social responsibility attracts investment capital as well as customer loyally, creating a
virtuous circle. Some companies quickly embraced the new ethos that consumers boycotted products they considered unethical and others purchase products in part because their manufacturers were
responsible. With global warming on the minds of many consumers lots of companies are racing to 'outgreen' each other. The most progressive companies are talking about a triple bottom line profit, planet and
people - that focuses on how to run a business while trying to improve environmental and worker conditions.
This is a time when the only thing that has sunk lower than the American public's opinion of Congress is its opinion of business. One burning question is how many of these Corporate Social Responsibility
(CSR) initiatives are just shrewd marketing to give companies a halo effect? After all only 8 per cent of the large American corporations go through the trouble of verifying their CSR reports, which many
consumers don't bother to read. And while social responsibility is one way for companies to get back their reputations consumers too need to make ethical choices.
Which of the following represents the change/s that has/have occurred in the American outlook?
(A) The perception that the government needs to invest resources in business rather than in education.
(B) Loss of faith in American corporations as they do not disburse their profits equitably among shareholders.
(C) Americans have cut down on their expenditure drastically to invest only in socially responsible mutual funds.
English Questions And Answers
2. Which of the following is/are True in the context of the passage?
(A) The voter turnout during the 2009 American elections was high.
(B) African diamonds are highly valued by the American public.
(C) American firms have to spend vast amounts on advertising because activists cast aspersions on their images.
English Questions And Answers
3. To what does the author attribute the consumers willingness to purchase environment friendly vehicles?
English Questions And Answers
4. Which of the following is the central idea of the passage?
English Questions And Answers
5. Which of the following best describes the widespread view among Americans about big corporations?
English Questions And Answers
"We have always known that needless self-interest was bad morals. We now know that it is bad economics," said American President Franklin D.Roosevelt in 1937 in the midst of the Great Depression. And
the world has learnt that enlightened self-interest is good economics all over again after the Great Recession of 2009. Americans are entering a period of social change as they are re-calibrating their sense of what
it means to be a citizen, not just through commerce. There is a new dimension to civic duty that is growing among Americans- the idea that they can serve not only by spending time in communities and
classrooms but by spending more responsibly. In short, Americans are beginning to put their money where their ideas are.
In a recent Poll most said they had consciously supported local or small neighborhood businesses and 40 percent said that they had purchased a product because they liked the social or political values of the
company that produced it. People were pany that produced it. People were alarmed about 'blood diamonds' mined in war zines and used to finance conflict in Africa. They were also willing to pay $2000 more
for a car that gets 35 miles per gallon than for one that gives less, though the former is more expensive but environment friendly. Of course consumers have done their own doing well by doing good calculation a
more expensive car that gives; better mileage will save them money in the long run and makes them feel good about protecting the environment. Moreover since 1995, the number of socially responsible
investment (SRI) mutual funds, which generally avoid buying shares of companies that profit from tobacco, oil or child labour has grown from 55 to 260. SRI funds now manage approximately 11 percent of all
the more invested in the US financial markets an estimated $2.7 trillion. This is evidence of a changing mindset in a nation whose most iconic economist Milton Friedman wrote in 1970 that a corporation's only
moral responsibility was to increase share holder profits.
At first the corporate stancewas defensive; companies were punished by consumers for unethical behavior such as discriminatory labour practices. The nexus of activist groups, consumers and government
regulation could not merely tarnish a company but put it out of business. But corporate America quickly discerned that social responsibility attracts investment capital as well as customer loyally, creating a
virtuous circle. Some companies quickly embraced the new ethos that consumers boycotted products they considered unethical and others purchase products in part because their manufacturers were
responsible. With global warming on the minds of many consumers lots of companies are racing to 'outgreen' each other. The most progressive companies are talking about a triple bottom line profit, planet and
people - that focuses on how to run a business while trying to improve environmental and worker conditions.
This is a time when the only thing that has sunk lower than the American public's opinion of Congress is its opinion of business. One burning question is how many of these Corporate Social Responsibility
(CSR) initiatives are just shrewd marketing to give companies a halo effect? After all only 8 per cent of the large American corporations go through the trouble of verifying their CSR reports, which many
consumers don't bother to read. And while social responsibility is one way for companies to get back their reputations consumers too need to make ethical choices.
What is the author trying to convey through the phrase 'companies are racing to outgreen each other' ?
English Questions And Answers
7. Which of the following factors has led to corporations adopting more socially responsible practices ?
English Questions And Answers
8. What can be inferred from the statistics mentioned about SRI mutual funds in the passage ?
(A) The percentage of child labourers has fallen since 1995.
(B) At present tobacco companies are making huge losses.
(C) The government needs to regulate SRI mutual funds as they handle vast amounts of funds.
English Questions And Answers
9. What is the author's view about companies, documentation of CSR initiatives ?
English Questions And Answers
10. Which of the following cannot be said about small businesses ?
(A) During the recession their profits have been higher than those made by big corporate.
(B) They adopt fair labour practices and environment friendly methods of production.
(C) They have managed to acquire an investment of over 11 percent of American capital.