CEA Environmental Ethics & Sustainability 2 — Questions and Answers
Question 1: Environmental justice is best described as the fair distribution of:
- Corporate profits from environmentally friendly products
- Environmental benefits and burdens across all communities regardless of race or income (Correct answer)
- Government subsidies for renewable energy development
- International carbon credits among developed nations
Correct answer: Environmental benefits and burdens across all communities regardless of race or income
Environmental justice addresses the disproportionate exposure of low-income and minority communities to environmental hazards and advocates for equitable distribution of both environmental benefits and burdens.
Question 2: What is the primary ethical purpose of an Environmental Impact Assessment (EIA)?
- To calculate the financial cost of environmental regulations
- To evaluate potential environmental consequences of a proposed project before approval (Correct answer)
- To measure a company's year-over-year carbon emissions reduction
- To assign legal liability for environmental damages
Correct answer: To evaluate potential environmental consequences of a proposed project before approval
An EIA is a proactive, preventive tool that identifies and evaluates potential environmental effects of a proposed project or policy before a decision is made, supporting informed and ethical decision-making.
Question 3: Which ethical obligation do organizations have when they discover that their operations have caused unexpected environmental harm?
- To continue operations while quietly studying the issue
- To disclose the harm to affected stakeholders and regulatory authorities promptly (Correct answer)
- To wait for regulatory agencies to identify the issue first
- To purchase carbon credits to offset the damage
Correct answer: To disclose the harm to affected stakeholders and regulatory authorities promptly
Transparency and accountability require organizations to promptly disclose environmental harm to affected parties and regulators, enabling corrective action and maintaining public trust.
Question 4: A company claims its products are 'eco-friendly' without any independent verification or specific data. This behavior violates which core ethical principle?
- Fairness
- Honesty and transparency (Correct answer)
- Loyalty
- Justice
Correct answer: Honesty and transparency
Making unverified environmental claims violates the ethical principle of honesty and transparency, which requires organizations to communicate truthfully and substantiate their environmental assertions.
Question 5: What is the ethical significance of biodiversity in corporate environmental responsibility?
- Biodiversity only matters to organizations in the agriculture sector
- Organizations have an ethical duty to avoid actions that irreversibly harm ecosystems and species (Correct answer)
- Biodiversity concerns only apply when legal regulations mandate protection
- Protecting biodiversity is a voluntary marketing choice, not an ethical obligation
Correct answer: Organizations have an ethical duty to avoid actions that irreversibly harm ecosystems and species
Ethical environmental responsibility extends to biodiversity because ecosystems provide essential services and species loss is often irreversible, creating a moral obligation to avoid actions that permanently damage natural systems.
Question 6: How does the concept of 'supply chain ethics' relate to environmental responsibility?
- Organizations are only responsible for the direct environmental impact of their own facilities
- Organizations have an ethical obligation to assess and address environmental impacts throughout their entire supply chain (Correct answer)
- Supply chain environmental issues are solely the responsibility of suppliers
- Environmental supply chain concerns are managed exclusively by procurement departments
Correct answer: Organizations have an ethical obligation to assess and address environmental impacts throughout their entire supply chain
Ethical environmental responsibility requires organizations to evaluate and address environmental impacts across their full supply chain, recognizing that upstream and downstream activities contribute to the organization's overall environmental footprint.
Question 7: Which type of corporate reporting specifically discloses an organization's environmental, social, and governance (ESG) performance to stakeholders?
- Annual financial report
- Sustainability report (Correct answer)
- Internal audit report
- Risk management report
Correct answer: Sustainability report
A sustainability report (also called a CSR or ESG report) discloses an organization's environmental, social, and governance performance, enabling stakeholders to evaluate non-financial impacts and hold organizations accountable.
CEA Environmental Ethics & Sustainability 2
Environmental justice is best described as the fair distribution of: