Deck 2: Introduction to Law and the Legal Environment of Business

Question 1

The Asian-Pacific Economic Cooperation (APEC) forum is discussing the creation of an economic free trade zone that would extend from ________.

A)Chile to China
B)the United States to China
C)China to Singapore
D)Japan to China

Answer 1

A

Question 2

The purpose of the North American Free Trade Agreement (NAFTA) is to ________.

A)codify international treaties with the countries that are part of the agreement
B)increase immigration quotas in the countries that are part of the agreement
C)lower trade barriers within the countries that are part of the agreement
D)defend coastal borders of the countries involved in trade, and are part of the agreement

Answer 2

C

Question 3

Which of the following schools of law is criticized for creating a static jurisprudence because it does not take into account social and ethical factors?

A)the sociological school
B)the American realist school
C)the positivist school
D)the natural law school

Answer 3

C

Question 4

Which of the following schools of jurisprudence states that the source of law is the sovereign?

A)natural law school
B)positivist school
C)sociological school
D)American realist school

Question 5

A natural law school teaches that ________.

A)good laws depend on good judges
B)law, ethics, and morality should remain separate
C)one has a moral responsibility to disobey an unjust law
D)the U. S. Constitution is the highest legal authority in the United States

Question 6

The posted speed limit on the interstate near Omar's house is 60 miles per hour, but no one ever gets a ticket unless they drive over 70 miles per hour. One morning, Omar receives a ticket for going 68 miles per hour. He is outraged and believes that a true injustice has occurred. Based on the scenario, Omar adheres to the ________.

A)feminist school of law
B)sociological school of law
C)positivist school of law
D)natural law school

Question 7

Which of the following arguments has been made by legal scholars when criticizing the positivist school of law?

A)It is impossible to remain positive about everything when there is so much negativity in the world.
B)The positivist school is irrational and not founded in logic.
C)The positivist school ignores the importance of precedence.
D)The positivist school adopts a view that is too narrow and literal-minded.

Question 8

The American realist school of law believes that ________.

A)the source of law is contemporary community opinion and customs
B)morals are separate from law and should not be considered in making legal decisions
C)classical economic theory and empirical methods must be applied to all areas of law in order to arrive at decisions
D)the source of law is actors in the legal system and scientific analysis of their actions

Question 9

Which of the following is true of the sociological school of law?

A)It is parallel to the positivist school of law and shares the same chief tenets.
B)Adherents of the sociological school seek to change the law by surveying case precedents and statutory law.
C)The sociological school requires a legislator or judge to make an inventory of community interests.
D)This school of law is very predictable with regard to individuals and businesses.

Question 10

Which of the following is a difference between the sociological school of law and the positivist school of law?

A)The positivist school of law states that morals should not be considered in making legal decisions, whereas the positivist school of law advocates the use of morals in making legal decisions.
B)The source of law of the sociological school is the sovereign, whereas the source of law of the positivist school is contemporary community opinion and customs.
C)The sociological school of law looks at actual human behavior and values, whereas the positivist school of law insists that the focus should remain on statutes and precedents.
D)Adherents have criticized the sociological school of law for being too narrow and literal minded, whereas the positivist school of law has been criticized for being too unpredictable.

Question 11

Juan, a lawyer, argues that morals have no say in determining legal decisions and extralegal factors must be ignored by judges when determining violations of the law. Juan is an adherent of the ________.

A)critical legal studies school of law
B)sociological school of law
C)American realist school of law
D)positivist school of law

Question 12

Which of the following is a feature of the study of the legal environment of business?

A)It is arbitrary and capricious.
B)It involves theoretical legal problems.
C)It excludes ethical considerations.
D)It is interdisciplinary.

Question 13

Which of the following arguments has been made by critics of the sociological school of law?

A)Sociology is not relevant to law, and so its views can be ignored.
B)The sociological school has proposed a view of law that is rigid and uncompromising.
C)The sociological school places too great an emphasis on quantitative data rather than experienced gut reactions.
D)The sociological school makes the law unpredictable, since community standards change over time.

Question 14

Which of the following statements is an argument raised by critics of a natural law school?

A)It requires sophisticated quantitative methodology, relying too heavily upon statistical methods.
B)It is based primarily upon the European rather than American legal thinking.
C)It is overly subjective in a nation of differing cultures and moral values.
D)It is designed for communist and socialist political systems.

Question 15

Which of the following schools of jurisprudence believes that the source of law is contemporary community opinion and customs?

A)critical legal studies school
B)sociological school
C)American realist school
D)positivist school

Question 16

Which of the following is true of the American realist school of law?

A)It sees law as part of society and a means of enforcing political and social values.
B)It says that judges and legislators should use an inventory of community interests to familiarize themselves with the community's standards and mores.
C)It believes that morality is important to determine whether discrimination exists when a business pays workers differently on the basis of their sex, race, religion, or ethnic origin.
D)It is the same as the sociological school because it focuses on the larger community to determine the meaning of law.

Question 17

Which of the following schools of jurisprudence is characterized by the existence of values that are unchanging because their source is absolute?

A)natural law school
B)positivist school
C)sociological school
D)American realist school

Question 18

The positivist school of law states that ________.

A)certain legal values that are unchanging exist because their source is absolute
B)certain legal values that can be judged by human reason exist and once determined, they supersede any form of human law
C)law is a closed logical system in which correct legal decisions are reached solely by logic and the use of precedents
D)a legislator or a judge can determine law by making an inventory of community interests

Question 19

Which of the following is true of a natural law school?

A)It has existed since 300 B.C. and bases law on certain unchanging value judgments.
B)It focuses on environmental concerns, such as toxic waste and air quality.
C)Its source of law is contemporary community opinion and customs.
D)It teaches that the legislature is the primary source of all law.

Question 20

Which of the following statements is a feature of the study of the legal environment of business?

A)It is designed to maximize enrollment at schools of law throughout the United States.
B)It develops an understanding that the law is dynamic, not static.
C)It encourages the search for the one true answer to each legal question.
D)It is based on the Platonic system of social control.

Question 21

Congress has delegated the authority of making rules governing the conduct of business and labor in certain areas to the ________.

A)federal courts
B)House of Representatives and the Senate
C)U.S. president
D)administrative agencies

Question 22

When does a pocket-veto occur?

A)when the president does nothing upon receipt of a bill from Congress
B)when the president takes no action within 10 days of receiving the bill from Congress and Congress adjourns within those 10 days
C)when the president vetoes a bill from Congress during a lame-duck session and the Congress adjourns immediately thereafter
D)whenever the president vetoes a bill

Question 23

The right of judicial review gives the ________.

A)U.S. Supreme Court the ultimate power to check the excesses of either the legislative or the executive branch
B)state courts the ultimate power to check the excesses of the judicial branch
C)state courts the ultimate power to check the excesses of the executive branch
D)U.S. Supreme Court the ultimate power to check the excesses of the administrative agencies

Question 24

Carlos believes that most court decisions and legal doctrines are best understood as efforts to promote an efficient allocation of resources in society. Carlos adheres to the ________.

A)natural law school
B)positivist school of law
C)sociological school of law
D)law and economics school of law

Question 25

The executive branch of the government is composed of the ________.

A)various administrative agencies
B)House of Representatives and the Senate
C)president, the president's staff, and the cabinet
D)federal and state courts

Question 26

Julia believes that the current jurisprudence reflects a male legislature and judicial system, and that women's views are underrepresented. Based on this scenario, she belongs to the ________ school of law.

A)feminist
B)positivist
C)critical
D)law and economics

Question 27

Which of the following is true of administrative agencies?

A)Their purpose is to create regulations that guide the functions of the executive branch.
B)Their authority to issue regulations comes directly from the President.
C)They regulate business in areas such as employment, trade, and safety.
D)They do not constitute a branch of the government.

Question 28

Adherents of critical legal jurisprudence believe that ________.

A)morality is important to determine whether discrimination exists when a business pays workers differently on the basis of their sex, race, religion, or ethnic origin
B)law is a mix of legal and nonlegal beliefs that have been constructed by the community to rationalize their way of life
C)law reflects a cluster of beliefs that convince human beings that the hierarchical relations under which they live and work are natural and must be accommodated
D)classical economic theory and empirical methods must be applied to all areas of law in order to arrive at decisions

Question 29

Which of the following is true of the Restatements of the Law?

A)The have the full force and effect of any other federal statute or regulation.
B)They are often relied upon by the courts when making decisions.
C)They are based on previous case decisions issued by the U.S. Supreme Court.
D)They cover only the legal subjects of contracts, torts, and agency.

Question 30

Where would one be able to find the documentation of the contents of a Congressional debate?

A)U.S. reports
B)Congressional Record
C)Congressional Daily News
D)Title 3 of the Code of Federal Regulations

Question 31

When a president vetoes a bill, what vote is necessary to override his veto?

A)A two-thirds majority of both the house of Representatives and the Senate can override his veto.
B)A two-thirds majority of either the house of Representatives or the Senate can override his veto.
C)A four-fifths majority of both houses can override his veto.
D)No vote can overturn the president's veto.

Question 32

What happens once the full House and Senate have each passed a version of a bill?

A)If the House and Senate versions are substantially similar, the Senate version goes to the president for his signature or veto.
B)The two versions of the bill go back to the applicable subcommittees in both the House and Senate to reconcile the differences and create a single version for signature or veto by the president.
C)The House and Senate versions are both sent to the president for signature or veto of the version he finds best suited to meeting the needs of the country.
D)Both, the House and Senate versions, are sent to a Senate-House Conference Committee for reconciliation and then a single version is returned to the full House and Senate for a vote.

Question 33

What happens if the president does not sign a bill that has been passed by both houses of Congress?

A)It can never become law.
B)It does not become law unless it goes back to both houses and gets a two-thirds vote.
C)It can become law even if the Congress adjourns before the 10-day period has elapsed.
D)It can become law since it has been passed by the Congress.

Question 34

The ________ school of law seeks to connect what happens in the legal system to the political-economic context within which it operates.

A)sociological
B)critical legal studies
C)American realist
D)positivist

Question 35

Judicial review is ________.

A)the power to reorganize the panel of Supreme Court judges
B)the power to determine whether a statute is constitutional
C)the power to change the working of the federal courts
D)the power given to the Senate to amend laws

Question 36

What is the primary argument raised by traditional critics of the critical legal studies school?

A)Critical legal theorists have constructed an essentially negative position without developing concrete strategies to bring about improvements.
B)Critical legal theorists tend to base their pronouncements on female-dominated scholarship.
C)Critical legal theorists pay too much attention to law without considering the effects of morality.
D)Critical legal theorists tend to downplay the interaction between statutory and common law.

Question 37

________ constitute a compilation of our federal and state case law.

A)Attachments
B)Testimonials
C)Reporters
D)Garnishments

Question 38

Which of the following accurately illustrates the chronological process of a bill becoming a law?

A)affirmative vote by both houses of Congress, referral to a committee, bill is marked up, subcommittee approval
B)referral of bill to a subcommittee, approval by the subcommittee and larger committee, affirmative vote by both houses of Congress, president's signature
C)president's signature, bill is marked up, subcommittee hearings, affirmative vote by both houses of Congress
D)passage of bill by Senate, passage of bill by House of Representatives, Senate-House Conference Committee reconciles differences, referral to subcommittee

Question 39

According to the critical legal studies school of law, members of society's elite have constructed an interlocking system of beliefs that ________.

A)opposes existing religious order
B)contradicts political rulings meant for the lower classes
C)focuses on advancements in infrastructure
D)reinforces established wealth and privilege

Question 40

Which of the following would prove to be most helpful to a disciple of the American realist school?

A)a scientific study of plea bargaining in the courtroom
B)a law passed to show the importance of morality in cases of discrimination
C)a quantitative analysis of statistical data about county government expenditures
D)a study of the community interests and standards

Question 41

Which of the following can be classified as public law?

A)contracts
B)torts
C)criminal law
D)property law

Question 42

Plato believed that law is a rule of conduct, a contract, or an ideal of reason.

Question 43

Disciples of the positivist school would argue that when Congress has not acted on a matter, the Supreme Court has no power to act on that matter.

Question 44

Jurisprudence is the science or philosophy of law, or law in its most generalized form.

Question 45

________ covers the process by which individuals or businesses can redress grievances against regulatory agencies such as the FTC and the SEC.

A)Administrative law
B)Constitutional law
C)Civil law
D)Criminal law

Question 46

Which of the following best describes a private law?

A)a law dealing with the enforcement of contracts and torts between two businesses
B)a law requiring a local zoning board to conduct a hearing before approving a request to change the zoning assigned to a particular parcel of land
C)a law defining burglary as the breaking and entering of the property of another with the intent to commit a felony
D)a law requiring police officers to have probable cause when requesting a search warrant

Question 47

The United States, Canada, and Mexico created the North American Free Trade Agreement (NAFTA) to lower trade barriers among themselves.

Question 48

American law is not dynamic; rather, its precepts are "written in stone."

Question 49

Which of the following is true of criminal law?

A)The purpose of criminal law is purely punitive.
B)An act that is a misdemeanor in one state could be a felony in another state.
C)It does not believe in rehabilitation of offenders or restitution to victims.
D)It is the law governing litigation between two private parties.

Question 50

An important function of the World Trade Organization is to lower trade barriers.

Question 51

________ sets forth the rules of enforcing substantive rights in a court of law.

A)Public law
B)Constitutional law
C)Private law
D)Procedural law

Question 52

Since the pace of economic globalization has slowed in recent years, there is less reason to be concerned about political and economic developments in other countries.

Question 53

Which of the following crimes is a misdemeanor?

A)drunken driving
B)rape
C)arson
D)armed robbery

Question 54

Which of the following can be classified as private law?

A)administrative law
B)property law
C)constitutional law
D)criminal law

Question 55

Hobbes believed that law is the command of the sovereign.

Question 56

According to the American jurist Oliver Wendell Holmes, law is grounded in theory rather than experience.

Question 57

________ deals with the relationship of government to individual citizens.

A)Property law
B)Civil law
C)Private law
D)Public law

Question 58

The study of the legal environment includes the study of the administrative law process and the role of businesspeople in that process.

Question 59

Statutory law is made by the ________ branch of the government.

A)legislative
B)executive
C)judicial
D)administrative

Question 60

Brian pointed a gun at Ray and took Ray's wallet which contained $10,000. Brian has been accused of robbery, the taking of the property of another by force or fear. Based on this scenario, which of the following statements is true?

A)Brian will be the defendant in a civil suit brought by the government.
B)Brian will not be tried in a criminal court because he did not shoot Ray.
C)Brian will be charged with robbery by Ray, the victim of the robbery.
D)Brian will be charged with robbery by the government.

Question 61

The feminist school bases legal precedent only on cases involving plaintiffs and defendants who were female.

Question 62

Compare and contrast criminal law and civil law.

Question 63

Legal opinions published on the Internet have no precedential value.

Question 64

The source of Congress's legislative powers comes from Article 1, Section 1 of the U.S. Constitution.

Question 65

Civil law is the law governing litigation between two private parties.

Question 66

Some proponents of the feminist school have argued that the First Amendment was authored by men and is presently interpreted by male-dominated courts to allow pornographers to make large profits.

Question 67

State the top 10 reasons for studying the legal environment of business.

Question 68

Discuss how the executive branch is a source of law in two ways.

Question 69

Procedural law sets forth the rules for enforcing substantive rights in a court of law.

Question 70

Explain the characteristics of the natural law school.

Question 71

State the steps in determining law based on the sociological school of law.

Question 72

The U.S. constitution has one indirect and three direct sources of law.

Question 73

Statutory law is the law made by the legislative branch of government.

Question 74

Discuss how one determines whether a law is just or unjust.

Question 75

A pocket-veto occurs whenever the president signs a bill into law.

Question 76

Property law falls under public law.

Question 77

List the various steps involved in the legislative process.