Exam 19: Natural Resource and Energy Economics

Kara and Kyle are competing sockeye salmon fishers.Both have been allocated ITQs that limit their catch to 2,000 tons of sockeye salmon each.Kara's cost per ton is $8; Kyle's cost per ton is $12.Assume that the market price of sockeye salmon is $15 per ton.If Kara pays Kyle $5 per ton for his ITQs, and if she then catches her new limit of 4,000 tons, her profit would be

The total allowable catch (TAC) system differs from the individual transferable quota (ITQ) system in that

ITQs generate the most efficient use of resources when everyone keeps and fills their own quotas.

Energy demand is relatively stable over the course of a day.

Which of the following is not considered by demographers to be part of the three-step demographic transition?

The use of present value calculations in valuing natural resources is important because it

The table shows the quantity of gold bars (Qb) in thousands, the extraction cost for each thousand bars (in millions of dollars), and the user cost of each thousand bars (in millions of dollars) facing the OZ Mining Company this year.If the current price of a bar of gold is $25,000, how many bars (in thousands) should OZ extract and sell this year in order to maximize profits?

The United States produces more than twice as much output per million BTUs of energy consumed as it did in 1950.Topic: Energy Economics Topic: Resource Supplies: Doom or Boom?

Kara and Kyle are competing sockeye salmon fishers.Both have been allocated ITQs that limit their catch to 2,000 tons of sockeye salmon each.Kara's cost per ton is $8; Kyle's cost per ton is $12.If the market price of sockeye salmon is $15 per ton, and Kara and Kyle both catch their quota, their combined profit will be

Alternative fuels become more economically viable as

Which of the following would cause the present optimal extraction level of a nonrenewable resource to rise?

(Consider This) Governments' main economic concern about low birthrates is that

An increasing ratio of real GDP to BTU of energy consumption suggests that

According to the concept of present value, a $50 barrel of oil today is worth

Demographers predict that the worldwide total fertility rate will decline to one birth per woman per lifetime.If this happens, then

A farmer discovers a natural gas reserve on his property.He can extract the natural gas for a profit of $40 per unit now, $55 per unit in one year, $57 per unit in two years, and $60 in three years.The current market rate of interest is 6 percent.When should the farmer extract the natural gas to obtain the most profit per unit in present value terms?

Mining of "conflict diamonds" tends to

Relative to 1800, today in the world there are

Relative to 1800, the living standard of the average person today in the United States is about times higher.

With modernization, the world's population will continue to decline even as many countries experience declining death rates.