The belief that the costs of social activity are passed on as higher prices to consumers is known as which argument against a firm being socially responsible?
A) costs
B) violation of profit maximization
C) lack of skills
D) dilution of purpose

Question

Quizplus · Accepted Answer

The "costs" argument suggests that when firms engage in socially responsible activities, they incur additional costs, which are then passed on to consumers in the form of higher prices.

The Belief That the Costs of Social Activity Are Passed