Which of the following statements is FALSE?
Ethics in finance consists of the moral norms that apply to financial activity broadly conceived.
O Moral norms do not reflect the conduct in financial activity that follows from fundamental ethical principles.
Ethics plays a vital role by guiding the formation of laws and government regulations.
Ethics plays a vital role by guiding conduct in areas not governed by laws and regulations.

Question

20-05-2024
Social Studies

Answered

Which of the following statements is FALSE?
Ethics in finance consists of the moral norms that apply to financial activity broadly conceived.
O Moral norms do not reflect the conduct in financial activity that follows from fundamental ethical principles.
Ethics plays a vital role by guiding the formation of laws and government regulations.
Ethics plays a vital role by guiding conduct in areas not governed by laws and regulations.

Answer :

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GinnyAnswer GinnyAnswer · Answer 1 · 2024-05-20T20:55:30-04:00

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The FALSE statement among the options provided is:
- Moral norms do not reflect the conduct in financial activity that follows from fundamental ethical principles.

Explanation:
1. Ethics in finance indeed consists of moral norms that apply to financial activities broadly. This statement is true because ethics guides behavior in the financial sector based on moral standards.
2. Ethics plays a crucial role in shaping laws and government regulations. This is accurate as ethical considerations often influence the creation of regulations to ensure fair and transparent financial practices.
3. Ethics also plays a vital role in guiding conduct in areas that are not governed by laws and regulations. This statement is true since ethical principles help individuals and organizations make decisions beyond legal requirements.

Therefore, the second statement claiming that moral norms do not reflect the conduct in financial activity following fundamental ethical principles is FALSE. In reality, ethical principles underpin and influence financial conduct and decision-making.