Chapter 5Ethical and Social Issues in the Digital Firm5-1

Chapter 5

Ethical and Social Issues in the Digital Firm

True-False Questions

Ethics are the principles and standards that guide our behavior toward other people.
Answer:TrueDifficulty:EasyReference:p. 148
Information technology can be used to threaten social values.
Answer:TrueDifficulty:EasyReference:p. 148
Ethical, social, and political issues are closely linked.
Answer:TrueDifficulty:EasyReference:p. 149
Political institutions require time to develop new laws and often require the demonstration of real harm before they act.
Answer:TrueDifficulty:EasyReference:p. 150
Standards for ensuring the accuracy and reliability of information systems are universally accepted and enforced.
Answer:FalseDifficulty:EasyReference:p. 151
Advances in data storage have made routine violation of individual privacy more difficult.
Answer:FalseDifficulty:EasyReference:p. 151
The use of computers to combine data from multiple sources and create electronic dossiers of detailed information on individuals is called cataloging.
Answer:FalseDifficulty:MediumReference:p. 151
Using computers to combine data from multiple sources and create electronic dossiers of detailed information on individuals is called profiling.
Answer:TrueDifficulty:MediumReference:p. 151
Profiling, while helpful to the marketer, is illegal.
Answer:FalseDifficulty:EasyReference:p. 151
Systems, by themselves, do not have “impacts.”
Answer:TrueDifficulty:MediumReference:p. 153
Typically, an ethical issue involves a dilemma – two diametrically opposed courses of action that support worthwhile values.
Answer:TrueDifficulty:MediumReference:p. 153
The Utilitarian Principle states that if an action is not right for everyone to take it is not right for anyone to take.
Answer:FalseDifficulty:MediumReference:p. 154
Professionals take on special rights and obligations because of their special claims to knowledge, wisdom, and respect.
Answer:TrueDifficulty:EasyReference:p. 154
Privacy is the right to be left alone when you want to be, to have control over your own personal possessions, and not to be observed without your consent.
Answer:TrueDifficulty:EasyReference:p. 155
Claims to privacy are irrelevant to the workplace.
Answer:FalseDifficulty:EasyReference:p. 155
The FIP principles require Web sites to disclose their information practices before collecting data.
Answer:TrueDifficulty:MediumReference: pp. 156-157
Fair Information Practices says that you may not use copyrighted material in certain situations — for example, in the creation of new work or, within certain limits, for teaching purposes.
Answer:FalseDifficulty:EasyReference:p. 156
Web sites using "cookies" can directly obtain the names and addresses of their visitors.
Answer:FalseDifficulty:MediumReference:p. 158
A cookie is a small record deposited on your hard disk by a Web site containing information about you and your Web activities.
Answer:TrueDifficulty:EasyReference:p. 158
Spyware is software that comes hidden in free downloadable software and can track your online movements.
Answer:TrueDifficulty:EasyReference:p. 159
Most Internet businesses do very little to protect the privacy of individuals who use the Net.
Answer:TrueDifficulty:EasyReference:p. 159
P3P encrypts or scrambles e-mail or data so that it cannot be read illicitly.
Answer:FalseDifficulty:MediumReference:p. 159
Protection for trade secrets is enforced at the federal level.
Answer:FalseDifficulty:HardReference:p. 161
Copyright is the legal protection afforded an expression of an idea, such as a song, video game, and some types of proprietary documents.
Answer:TrueDifficulty:EasyReference:p. 161
The Copyright Office did not begin registering software programs until the 1980s.
Answer:FalseDifficulty:HardReference:p. 162
The drawback to copyright protection is that the underlying ideas behind the work are not protected, only their manifestation in a product.
Answer:TrueDifficulty:HardReference:p. 162
According to the courts, similar concept, function, general functional features, and colors are protectable by copyright law.
Answer:FalseDifficulty:MediumReference:p. 162
The key concepts in patent law are originality, novelty, and invention.
Answer:TrueDifficulty:EasyReference:p. 162
With the demise of Napster, it became very difficult to find free copyrighted music on the Internet.
Answer:FalseDifficulty:EasyReference:p. 163
Most experts agree that the current intellectual property laws are breaking down in the information age.
Answer:TrueDifficulty:EasyReference:p. 164
Zero defects in software code of any complexity cannot be achieved.
Answer:TrueDifficulty:EasyReference:p. 166
Computers and information technologies potentially can destroy valuable elements of our culture in society even while they bring us benefits.
Answer:TrueDifficulty:EasyReference:p. 168
Accessing a computer system without authorization is a federal crime.
Answer:TrueDifficulty:EasyReference:p. 169
Spam is unsolicited e-mail.
Answer:TrueDifficulty:EasyReference:p. 169
Europe has passed a ban on unsolicited commercial messaging.
Answer:TrueDifficulty:EasyReference:p. 170
It has become clear that the blue-collar workers who lose their jobs due to reengineering in the workplace can be retrained easily for high-quality, high-paying jobs.
Answer:FalseDifficulty:HardReference:p. 170
RSI is unavoidable for a computer keyboard worker.
Answer:FalseDifficulty:EasyReference:p. 172
Technostress occurs when humans working continuously with computers come to expect other humans and human institutions to provide instant response, attentiveness, and the absence of emotion.
Answer:TrueDifficulty:EasyReference:p. 173
Radiation from computer display screens has been proved to be a factor in RSI.
Answer:FalseDifficulty:EasyReference:p. 173
Rapid technological change does not mean that the choices facing individuals will also rapidly change.
Answer:FalseDifficulty:EasyReference:p. 173

Multiple-Choice Questions

New technologies can be used to:
a.threaten social values.
b.achieve social progress.
c.commit crimes.
d.all of the above.
Answer: dDifficulty:EasyReference:p. 148
In the information age, the obligations that individuals and organizations have concerning rights to intellectual property falls within the moral dimension of:
a.property rights and obligations.
b.system quality.
c.accountability and control.
d.information rights and obligations.
Answer: aDifficulty:EasyReference:p. 150
The moral dimensions of the information society:
a.are geographically and politically biased.
b.are covered by existing laws and customs in most countries.
c.are “quality of life” issues.
d.cut across individual, social, and political levels of actions.
Answer: dDifficulty:EasyReference:p. 150
The use of computers to combine data from multiple sources and creating electronic dossiers of detailed information on individuals is called:
a.profiling.
b.invasion.
c.spamming.
d.safe harbor.
Answer: aDifficulty:EasyReference:p. 151
Advances in data storage techniques and rapidly declining storage costs have:
a.doubled humanity’s knowledge.
b.made universal access possible.
c.doubled every 18 months.
d.made routine violations of privacy cheap and effective.
Answer: dDifficulty:EasyReference:p. 151
Ethics is a concern of humans who:
a.deal with the feelings of others.
b.have freedom of choice.
c.are civilized.
d.have a religious belief.
Answer: bDifficulty:EasyReference:p. 153
Accepting the potential costs, duties, and obligations for the decisions you make is referred to as:
a.responsibility.
b.accountability.
c.liability.
d.due process.
Answer: aDifficulty:EasyReference:p. 153
Immanuel Kant’s Categorical Imperative states that:
a.if an action cannot be taken repeatedly, then it is not right to be taken at any time.
b.one should take the action that produces the least harm or incurs the least cost.
c.one can put values in rank order and understand the consequences of various courses of action.
d.if an action is not right for everyone to take, it is not right for anyone to take.
Answer: dDifficulty:MediumReference:p. 154
The ethical “no free lunch” rule states that:
a.if an action cannot be taken repeatedly, then it is not right to be taken at any time.
b.one should take the action that produces the least harm or incurs the least cost.
c.one can put values in rank order and understand the consequences of various courses of action.
d.everything is owned by someone else, and that the creator wants compensation for this work.
Answer: dDifficulty:MediumReference:p. 154
The ethical rules discussed in the textbook:
a.are based on political philosophies.
b.cannot always be guides to actions.
c.do not always apply in the digital firm.
d.do not allow for competing values.
Answer: bDifficulty:MediumReference:p. 154
What is the right to be left alone when you want to be, to have control over your own personal possessions, and not to be observed without your consent?
a. Fair Use Doctrine
b. Pirated software
c. Counterfeit software
d. Privacy
Answer: dDifficulty:EasyReference:p. 155
Which U.S. act restricts what information the federal government can collect and what they can do with it?
a. Privacy Act
b. Bork Bill
c. Freedom of Information Act
d. Communications Assistance for Law Enforcement Act
Answer: aDifficulty:MediumReference:p. 156
Fair information practices are based on the principle of:
a.accountability.
b.responsibility.
c.mutuality of interest.
d.ethical behavior.
Answer: cDifficulty:EasyReference:p. 156
The Federal Trade Commission Fair Information Practice principle of Notice/Awareness states that:
a.customers must be allowed to choose how their information will be used for secondary purposes other than the supporting transaction, including internal use and transfer to third parties.
b.data collectors must take responsible steps to assure that consumer information is accurate and secure from unauthorized use.
c.there is a mechanism in place to enforce FIP principles.
d.Web sites must disclose their information practices before collecting data.
Answer: dDifficulty:EasyReference:p. 157
European privacy protection is ______than in the United States.
a.less far-reaching
b.less liable to laws
c.much less stringent
d.much more stringent
Answer: dDifficulty:MediumReference:p. 157
U.S. businesses are allowed to use personal data from EU countries if they:
a.have informed consent.
b.make sure they comply with U.S. data protection laws.
c.develop a safe harbor framework for the data.
d.make their privacy protection policies publicly available.
Answer: cDifficulty:MediumReference:p. 158
When a cookie is created during a Web site visit, it is stored:
a.on the Web site computer.
b.on the visitor’s computer.
c.on the ISP’s computer.
d.in a Web directory.
Answer: bDifficulty:EasyReference:p. 158
What is software that comes hidden in free downloadable software and tracks your online movements, mines the information stored on your computer, or uses your computer’s CPU and storage for some task you know nothing about?
a. Web log
b. Clickstream
c. Anonymous Web browsing service
d. Spyware
Answer: dDifficulty:HardReference:p. 159
The Online Privacy Alliance:
a.encourages self-regulation to develop a set of privacy guidelines for its members.
b.protects user privacy during interactions with Web sites.
c.lobbies for better privacy legislation for the consumer.
d.discourages the use of online seals.
Answer: aDifficulty:EasyReference:p. 159
P3P stands for:
a.Privacy for Personal Protection.
b.Platform for Privacy Preferences.
c.Preferences for Personal Privacy
d.Protection of Personal Privacy.
Answer: bDifficulty:EasyReference:p. 159
The P3P standard is concerned with:
a.controlling pop-up ads based on user profiles and preventing ads from collecting or sending information.
b.allowing users to surf the Web without being identified.
c.scrambling data so that it can’t be read.
d.blocking or limiting cookies.
Answer: dDifficulty:EasyReference:p. 160
The “expectation of privacy” refers to:
a.the laws protecting against search and seizure.
b.the validity of privacy only in legal transactions.
c.the culturally understood differences between private and public areas of life.
d.the cultural differences between privacy in different areas of business.
Answer: cDifficulty:EasyReference:p. 161
The limitation of trade secret protection is that although virtually all software programs of any complexity contain unique elements of some sort, it is difficult to prevent the ideas in the work from falling into the public domain:
a.when the courts become involved.
b.when hackers are able to break into the source code.
c.when the software is widely distributed.
d.when a new version of the software is released.
Answer: cDifficulty:EasyReference:p. 161
Intellectual property can best be described as:
a. intangible creative work that is embodied in physical form.
b. the legal protection afforded an expression of an idea.
c. the Fair Use Doctrine that allows for the use of copyrighted materials.
d. software that is copied and distributed without permission.
Answer: aDifficulty:EasyReference:p. 161
What is the legal protection afforded an expression of an idea, such as a song, video game, and some types of proprietary documents?
a. Ethics
b. Intellectual property
c. Copyright
d. Fair Use Doctrine
Answer: cDifficulty:EasyReference:p. 161
Copyright can best be described as:
a. intangible creative work that is embodied in physical form.
b. the legal protection afforded to intellectual property.
c. the Fair Use Doctrine that allows for the use of copyrighted materials.
d. software that is copied and distributed without permission.
Answer: bDifficulty:EasyReference:p. 161
The strength of patent protection is that it:
a.puts the strength of law behind copyright.
b.allows protection from Internet theft of ideas put forth publicly.
c.is easy to define.
d.grants a monopoly on the underlying concepts and ideas.
Answer: dDifficulty:EasyReference:p. 162
One of the difficulties of patent protection is:
a.that only the underlying ideas are protected.
b.digital media cannot be patented.
c.protection against theft.
d.the years of waiting to receive it.
Answer: dDifficulty:HardReference:p. 162
Which of the following adjusts copyright laws to the Internet age by making it illegal to make, distribute, or use devices that circumvent technology-based protections of copyrighted materials?
a.Digital Millennium Copyright Act
b.Privacy Act
c.Freedom of Information Act
d.Electronic Communications Privacy Act
Answer: aDifficulty:HardReference: pp. 163-164
The ease with which software and digital content can be copied contributes to:
a.reducing the speed with which new information technologies can and will be introduced.
b.the decline in standards of computer literacy.
c.issues concerning liability.
d.a lack of concern over the protection of intellectual property in digital formats.
Answer: aDifficulty:MediumReference:p. 164
In general, it is very difficult to hold software producers liable for their software products when those products are considered to be:
a.digital shareware.
b.like books.
c.services.
d.non-essential systems.
Answer: bDifficulty:MediumReference:p. 165
______are not held liable for the messages they transmit:
a.Common carriers
b.Private individuals
c.Organizations and businesses
d.Congressional delegates
Answer: aDifficulty:EasyReference:p. 165
The “do anything anywhere” computing environment can:
a.make work environments much more pleasant.
b.create economies of efficiency.
c.centralize power at corporate headquarters.
d.blur the traditional boundaries between work and family time.
Answer: dDifficulty:MediumReference:p. 168
It is now a federal crime to:
a.send spam to a mass audience.
b.access a computer system without authorization.
c.create an online personality.
d.use anonymizers.
Answer: bDifficulty:MediumReference:p. 169
Computer abuse is:
a.mostly a personal problem.
b.sometimes legal but always unethical.
c.illegal and unethical.
d.most common in the business environment.
Answer: bDifficulty:MediumReference:p. 169
The practice of spamming has been growing because:
a.telephone solicitation is no longer legal.
b.it is good advertising practice and brings in many new customers.
c.it helps pay for the Internet.
d.it is so inexpensive and can reach so many people.
Answer: dDifficulty:EasyReference:p. 169
The U.S. CAN-SPAM Act of 2003:
a.makes spamming illegal.
b. requires spammers to identify themselves
c.has dramatically cut down spamming
d.does not override state anti-spamming laws.
Answer: bDifficulty:HardReference:p. 171
Which of the following refers to large disparities in access to computers and the Internet among different social groups and different locations?
a.Computer divide
b.Technology divide
c.Digital divide
d.Information divide
Answer: cDifficulty:EasyReference:p. 172
CVS refers to:
a.eyestrain related to computer display screen use.
b.computer virus syndrome.
c.wrist injuries brought about by incorrect hand position when using a keyboard.
d.stress induced by computer use.
Answer: aDifficulty:EasyReference:p. 173
Which of the following is stress induced by computer use, and its symptoms include aggravation, hostility toward humans, impatience, and enervation?
a.Computer stress
b.Techno aggravation
c.Carpal tunnel syndrome
d.Technostress
Answer: dDifficulty:EasyReference:p. 173

Fill in the Blanks

The principles of right and wrong that can be used by individuals acting as free moral agents to make choices to guide their behavior are called ethics.
Difficulty: EasyReference:p. 148
Ethics are the principles and standards that guide our behavior toward other people.
Difficulty: EasyReference:p. 148
The liberties that individuals and organizations have with respect to data pertaining to themselves are called information rights.
Difficulty: EasyReference:p. 150
The use of computers to combine data from multiple sources and create electronic dossiers and detailed information on individuals is called profiling.
Difficulty: EasyReference:p. 151
Accepting the potential costs, duties, and obligations for the decisions one makes is called responsibility.
Difficulty: EasyReference:p. 153
Accountability is the mechanism for assessing responsibility for decisions made and actions taken.
Difficulty: EasyReference:p. 153
Liability refers to the existence of laws that permit individuals to recover damages done to them by other actors, systems, or organizations.
Difficulty: MediumReference:p. 153
Due process is that situation in which laws are well-known and understood and there is an ability to appeal to higher authorities to ensure that those laws are applied correctly.
Difficulty: EasyReference:p. 153
A(n) stakeholder is a player in a game who has an interest in the outcome, has invested in the situation, and usually has an opinion.
Difficulty: MediumReference:p. 153
Professional groups take responsibility for the partial regulation of their professions by the use of professional codes of conduct.
Difficulty: MediumReference:p. 154
Privacyis the right to be left alone when you want to be, to have control over your own personal possessions, and not to be observed without your consent.
Difficulty: EasyReference:p. 154
Descartes’rule of change states that if an action cannot be taken repeatedly, then it is not right to be taken at any time.
Difficulty: MediumReference:p. 154
The Utilitarian Principle assumes one can put values in rank order and understand the consequences of various courses of action.
Difficulty: MediumReference:p. 154
The Risk Aversion Principle states that one should take the action that produces the least harm or incurs the least cost.
Difficulty: MediumReference:p. 154
The ethical “no free lunch” rule states that someone else owns all tangible and intangible objects, unless there is a specific declaration otherwise, and that the creator wants compensation for this work.