Question 1

Total allowable catch (TAC)

Accepted Answer

A) explicitly limits the number of days in a season that particular fish may be caught. 
B) explicitly limits the number of boats allowed to fish in a particular area. 
C) explicitly limits the number or tonnage of fish that can be harvested from a particular fishery. 
D) issues tradable permits limiting the number of fish a particular fisher can catch. 
A) explicitly limits the number of days in a season that particular fish may be caught. 
B) explicitly limits the number of boats allowed to fish in a particular area. 
C) explicitly limits the number or tonnage of fish that can be harvested from a particular fishery. 
D) issues tradable permits limiting the number of fish a particular fisher can catch.

Question 2

If users can benefit from conservation, resources will be

Accepted Answer

A) unprofitable. 
B) extracted at a fast rate. 
C) preserved for future use. 
D) overused in the present and the future. 
A) unprofitable. 
B) extracted at a fast rate. 
C) preserved for future use. 
D) overused in the present and the future.

Question 3

Since 1950, the energy efficiency of the U.S. economy in terms of producing goods and services has

Accepted Answer

A) not changed. 
B) more than doubled. 
C) risen about 50 percent. 
D) risen more than threefold. 
A) not changed. 
B) more than doubled. 
C) risen about 50 percent. 
D) risen more than threefold.

Question 4

Refer to the diagram. An increase in extraction costs could be shown by

Accepted Answer

A) an increase in the first-year quantity extracted. 
B) a shift from TC₁ to TC₀ . 
C) a shift from TC₀ to TC₁. 
D) an upward shift of the price line. 
A) an increase in the first-year quantity extracted. 
B) a shift from TC₁ to TC₀ . 
C) a shift from TC₀ to TC₁. 
D) an upward shift of the price line.

Question 5

Global resource demand has

Accepted Answer

A) remained relatively constant because increases in population have been offset by declining consumption per person. 
B) declined because of technological progress. 
C) remained constant because population growth and increased consumption per person have been offset by technological progress. 
D) increased because population growth and increased consumption per person have more than offset reduced demand due to technological progress. 
A) remained relatively constant because increases in population have been offset by declining consumption per person. 
B) declined because of technological progress. 
C) remained constant because population growth and increased consumption per person have been offset by technological progress. 
D) increased because population growth and increased consumption per person have more than offset reduced demand due to technological progress.

Question 6

Which of the following statements is true about falling birthrates?

Accepted Answer

A) They tend to lag behind falling death rates, allowing population growth to continue for at least one or two more generations. 
B) They tend to precede declines in death rates, causing a temporary dip in population before it stabilizes in a generation or two. 
C) They tend to lag behind declining standards of living. 
D) They always cause population to decline. 
A) They tend to lag behind falling death rates, allowing population growth to continue for at least one or two more generations. 
B) They tend to precede declines in death rates, causing a temporary dip in population before it stabilizes in a generation or two. 
C) They tend to lag behind declining standards of living. 
D) They always cause population to decline.

Question 7

Wind and solar energy has many benefits over coal and gas. Are there any downsides? If so, discuss.

Accepted Answer

Yes, the downside to using wind turbines

Question 8

An oil company has the opportunity to extract oil from a reserve in three years with a per barrel profit of $100 per barrel. The current market rate of interest is 8 percent. The present value of this future extraction is about

Accepted Answer

A) $93 
B) $108 
C) $126 
D) $79 
A) $93 
B) $108 
C) $126 
D) $79

Question 9

Fisheries have been overexploited relative to forests primarily because people care more about trees than fish.

Accepted Answer

A) True 
 B)False

Question 10

Which of the following is considered a renewable natural resource?

Accepted Answer

A) aquifers 
B) coal 
C) petroleum 
D) iron 
A) aquifers 
B) coal 
C) petroleum 
D) iron

Question 11

The "replacement rate" is the birthrate necessary to

Accepted Answer

A) keep a nation's population from decreasing. 
B) keep an able-bodied workforce in the economy. 
C) maintain the productivity level in an economy. 
D) maintain the standard of living of a nation. 
A) keep a nation's population from decreasing. 
B) keep an able-bodied workforce in the economy. 
C) maintain the productivity level in an economy. 
D) maintain the standard of living of a nation.

Question 12

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

Accepted Answer

A) TAC limits the total harvest of fish, while ITQ does not. 
B) ITQ limits an individual fishery's harvest, but TAC does not. 
C) TAC prevents an "individual arms race" among fisheries, whereas ITQ does not. 
D) ITQ does not offer significant cost-saving benefits, but TAC does. 
A) TAC limits the total harvest of fish, while ITQ does not. 
B) ITQ limits an individual fishery's harvest, but TAC does not. 
C) TAC prevents an "individual arms race" among fisheries, whereas ITQ does not. 
D) ITQ does not offer significant cost-saving benefits, but TAC does.

Question 13

In the case of extraction of a nonrenewable resource, when user costs increase, it implies that expected future profits

Accepted Answer

A) decrease, while the amount of current extraction increases. 
B) decrease, and the amount of current extraction decreases. 
C) increase, and the amount of current extraction increases. 
D) increase, while the amount of current extraction decreases. 
A) decrease, while the amount of current extraction increases. 
B) decrease, and the amount of current extraction decreases. 
C) increase, and the amount of current extraction increases. 
D) increase, while the amount of current extraction decreases.

Question 14

Define total fertility rate and replacement rate. Use them to describe the population prospects for many developed countries.

Accepted Answer

The total fertility rate is the average

Question 15

In the case of conflict diamonds, the strict enforcement of property rights has led to too fast of a rate of extraction.

Accepted Answer

A) True 
 B)False

Question 16

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

Accepted Answer

A) simultaneous low birthrates and death rates 
B) simultaneous high birthrates and death rates 
C) low birthrates and high death rates 
D) high birthrates and low death rates 
A) simultaneous low birthrates and death rates 
B) simultaneous high birthrates and death rates 
C) low birthrates and high death rates 
D) high birthrates and low death rates

Question 17

Thomas Malthus argued that increases in living standards tend to reduce birthrates.

Accepted Answer

A) True 
 B)False

Question 18

The total fertility rate

Accepted Answer

A) measures the average number of children that a woman is expected to have during her lifetime. 
B) exceeds the replacement rate in countries with a falling population. 
C) equals the rate of population change over time. 
D) rises as income rises. 
A) measures the average number of children that a woman is expected to have during her lifetime. 
B) exceeds the replacement rate in countries with a falling population. 
C) equals the rate of population change over time. 
D) rises as income rises.

Question 19

Future shortages in natural resource markets are not expected to occur widely due to

Accepted Answer

A) reduced hours at work. 
B) reduced population growth. 
C) higher standards of living. 
D) higher per capita consumption. 
A) reduced hours at work. 
B) reduced population growth. 
C) higher standards of living. 
D) higher per capita consumption.

Question 20

Why do some nations have growing or sustainable forests and other nations experience deforestation?

Accepted Answer

For the most part, differences in proper

Exam 19: Natural Resource and Energy Economics

Total allowable catch (TAC)

If users can benefit from conservation, resources will be

Since 1950, the energy efficiency of the U.S. economy in terms of producing goods and services has

Refer to the diagram. An increase in extraction costs could be shown by

Global resource demand has

Which of the following statements is true about falling birthrates?

Wind and solar energy has many benefits over coal and gas. Are there any downsides? If so, discuss.

An oil company has the opportunity to extract oil from a reserve in three years with a per barrel profit of $100 per barrel. The current market rate of interest is 8 percent. The present value of this future extraction is about

Fisheries have been overexploited relative to forests primarily because people care more about trees than fish.

Which of the following is considered a renewable natural resource?

The "replacement rate" is the birthrate necessary to

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

In the case of extraction of a nonrenewable resource, when user costs increase, it implies that expected future profits

Define total fertility rate and replacement rate. Use them to describe the population prospects for many developed countries.

In the case of conflict diamonds, the strict enforcement of property rights has led to too fast of a rate of extraction.

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

Thomas Malthus argued that increases in living standards tend to reduce birthrates.

The total fertility rate

Future shortages in natural resource markets are not expected to occur widely due to

Why do some nations have growing or sustainable forests and other nations experience deforestation?

Limits, Alternatives, and Choices

The Market System and the Circular Flow

Demand, Supply, and Market Equilibrium

Market Failures Caused by Externalities Asymmetric Information

Public Goods, Public Choice, and Government Failure

Elasticity

Utility Maximization

Behavioral Economics

Businesses and the Costs of Production

Pure Competition in the Short Run

Pure Competition in the Long Run

Pure Monopoly

Monopolistic Competition

Oligopoly and Strategic Behavior

Technology, RD, and Efficiency

The Demand for Resources

Wage Determination

Rent, Interest, and Profit

Public Finance: Expenditures and Taxes

Antitrust Policy and Regulation

Agriculture: Economics and Policy

Income Inequality, Poverty, and Discrimination

Health Care

Immigration

International Trade

The Balance of Payments, Exchange Rates, and Trade Deficits

The Economics of Developing Countries

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