The vSwitch or vSwitch port group policy setting that allows a virtual machine to listen to traffic other than that which is specifically destined for the given VM is:

Answer: Promiscuous Mode

Explanation:

+ Forged Transmits affects outbound traffic but not the traffic to which a VM can listen.
+ MAC Address Changes affects outbound traffic but not the traffic to which a VM can listen.
+ Traffic Shaping defines QOS policies for average and peak bandwidth, and traffic burst size.