Economics MCQs

In Edwin Lemert's labeling theory, primary deviance refers to the initial act of rule-breaking that has not yet been socially labeled or sanctioned. Because the individual has not been caught or publicly identified as a deviant, they typically do not internalize a deviant identity. If the act is discovered and the individual is labeled, it may lead to secondary deviance, where the person adopts the deviant role.

Behavioral economics suggests that individuals possess a strong sense of fairness and reciprocity. When firms share profits through bonuses, they acknowledge the employees' contribution to that success. This aligns with the social preference for equitable outcomes, preventing feelings of exploitation or resentment, which can otherwise lead to decreased productivity or labor turnover.

Differential association theory, developed by Edwin Sutherland, posits that criminal behavior is not innate or biological but is learned through social interaction. Individuals learn the techniques, motives, drives, and attitudes necessary for deviant behavior from intimate personal groups. If the definitions favorable to violating the law outweigh the definitions unfavorable to it, an individual is more likely to engage in criminal activity.

Linguistic diversity is vast, and not all languages share the same conceptual categories. While all languages allow for communication, they do not all grammatically or lexically encode universal concepts like 'shame,' 'guilt,' or even linear time (past/future) in the same way. Therefore, it is inaccurate to claim that all languages must encompass these specific notions as fundamental components of their structure.

Socialization begins with the development of self-awareness. Infants must first recognize themselves as distinct individuals before they can effectively interact with others. While walking, speaking, and crying are significant developmental milestones, they occur after the foundational cognitive shift toward self-recognition, which allows the child to perceive their place within the social environment.

Defense mechanisms are unconscious psychological strategies used by the ego to protect itself from anxiety arising from unacceptable thoughts, feelings, or external stressors. By distorting reality or repressing impulses, these mechanisms help individuals manage internal conflict and maintain psychological stability, effectively deflecting the discomfort of anxiety.

The Hell's Angels are frequently studied in sociology as an example of a deviant subculture. Their lifestyle, which often involves organized rebellion against mainstream societal norms, criminal activity, and a distinct set of internal values, places them outside the boundaries of conventional behavior. This classification is based on their rejection of traditional social expectations and their tendency to engage in activities that society labels as deviant.

Historically, marriage was primarily an economic or political arrangement designed to secure alliances, property, or lineage. The idea that romantic love should be the foundational requirement for marriage is a relatively modern development, gaining prominence in Western culture only within the last few centuries as individual choice and emotional fulfillment became central to social life.

Prejudice is characterized by a cognitive bias that makes individuals resistant to information that challenges their established worldview. When confronted with evidence that contradicts their beliefs, prejudiced persons often engage in motivated reasoning or confirmation bias, choosing to ignore or dismiss the new information rather than updating their views. This rigidity serves to protect their existing social or psychological framework from being disrupted by reality.

Screening is a strategy used by the less-informed party in a transaction to gather information about the hidden characteristics of the other party. By hiring a mechanic, Nicole is actively seeking to reduce the risk of purchasing a 'lemon' by uncovering private information held by the seller, thereby addressing the adverse selection problem before the transaction is finalized.