Question 1

Figure 4C
  
-Refer to Figure 4C. If waste emission is greater that Wk, then

Accepted Answer

A)  The total waste disposal cost can be reduced by further controlling emissions 
B)  The total waste disposal cost can be reduced by allowing for more emissions 
C)  Movement in either direction along any curve would not be cost effective 
D)  The marginal damage curve must shift to the right 
E)  None of the above 
A)  The total waste disposal cost can be reduced by further controlling emissions 
B)  The total waste disposal cost can be reduced by allowing for more emissions 
C)  Movement in either direction along any curve would not be cost effective 
D)  The marginal damage curve must shift to the right 
E)  None of the above A

Question 2

If more emphasis is put on pollution cleanup than on pollution prevention, then

Accepted Answer

A)  One is arguing from a neoclassical economic perspective 
B)  One is arguing from an ecological economic perspective 
C)  This argument is consistent with both the neoclassical economic and ecological economic
 perspectives 
D)  It is implied that the optimal level of pollution is always zero 
E)  None of the above 
A)  One is arguing from a neoclassical economic perspective 
B)  One is arguing from an ecological economic perspective 
C)  This argument is consistent with both the neoclassical economic and ecological economic
 perspectives 
D)  It is implied that the optimal level of pollution is always zero 
E)  None of the above A

Question 3

The marginal pollution control cost

Accepted Answer

A)  Remains constant with increased environmental quality or cleanup activities 
B)  Decreases with increased environmental quality or cleanup activities 
C)  Is constructed by holding constant factors such as the technology of pollution control 
D)  Shifts up or down when we change the price (damage cost) 
E)  None of the above 
A)  Remains constant with increased environmental quality or cleanup activities 
B)  Decreases with increased environmental quality or cleanup activities 
C)  Is constructed by holding constant factors such as the technology of pollution control 
D)  Shifts up or down when we change the price (damage cost) 
E)  None of the above C

Question 4

Examples of pollution control costs include:

Accepted Answer

A)  Sequestering carbon dioxide from the atmosphere and placing it underground 
B)  Adding "scrubbers" (filters) on smokestacks 
C)  Removing dead fish from a lake ecosystem 
D)  None of the above 
E)  All of the above 
A)  Sequestering carbon dioxide from the atmosphere and placing it underground 
B)  Adding "scrubbers" (filters) on smokestacks 
C)  Removing dead fish from a lake ecosystem 
D)  None of the above 
E)  All of the above

Question 5

The sloped marginal pollution damage cost (MDC) curve implies that the damage caused
 by a unit of pollution decreases progressively as the amount of pollution emitted
 increases.

Accepted Answer

A) True 
 B)False

Question 6

Which of the following statements is least accurate?

Accepted Answer

A)  Without considering the intrinsic value of the natural ecosystems, a divergence between
 economically and ecologically optimum pollution may be inevitable 
B)  The economic estimate of the damage function is likely to overstate the welfare of the
 future generations and the value of maintaining diversity 
C)  The standard neoclassical economic approach to pollution control is most likely to stress
 pollution cleanup. 
D)  The ecological economic approach to pollution control is most likely to stress pollution
 prevention 
E)  All of the above statements are inaccurate 
A)  Without considering the intrinsic value of the natural ecosystems, a divergence between
 economically and ecologically optimum pollution may be inevitable 
B)  The economic estimate of the damage function is likely to overstate the welfare of the
 future generations and the value of maintaining diversity 
C)  The standard neoclassical economic approach to pollution control is most likely to stress
 pollution cleanup. 
D)  The ecological economic approach to pollution control is most likely to stress pollution
 prevention 
E)  All of the above statements are inaccurate

Question 7

Pollution damage costs are externalities, which mean that the costs are incurred by
 members of a society before the pollution damages have already occurred.

Accepted Answer

A) True 
 B)False

Question 8

The implied trade-off in dealing with a pollution problem is between prevention and
 damage costs.

Accepted Answer

A) True 
 B)False

Question 9

Pollution damage costs are identified in terms of the losses of or damage to plants and
 animals, but not physical (man-made) infrastructures.

Accepted Answer

A) True 
 B)False

Question 10

Figure 4C
  
-Refer to Figure 4C. If waste emission is less than Wk, then

Accepted Answer

A)  The mcc must shift to the left 
B)  The optimal level of pollution has been achieved 
C)  The total waste disposal cost can be increase by allowing for more emissions 
D)  Movement in either direction along any curve would not be cost effective 
E)  The MDC must shift to the left 
A)  The mcc must shift to the left 
B)  The optimal level of pollution has been achieved 
C)  The total waste disposal cost can be increase by allowing for more emissions 
D)  Movement in either direction along any curve would not be cost effective 
E)  The MDC must shift to the left

Question 11

Pollution damage costs

Accepted Answer

A)  Are the total non-monetary values of all the various damages resulting from the discharge
Of untreated waste into the environment 
B)  Usually do not depend on the amount and the nature of the untreated waste 
C)  Can include the destruction to aquatic plants 
D)  Do not arise from biodegradable pollutants 
E)  All of the above 
A)  Are the total non-monetary values of all the various damages resulting from the discharge
Of untreated waste into the environment 
B)  Usually do not depend on the amount and the nature of the untreated waste 
C)  Can include the destruction to aquatic plants 
D)  Do not arise from biodegradable pollutants 
E)  All of the above

Question 12

From an economic viewpoint, expenditure on pollution control technology will make sense if

Accepted Answer

A)  The environment is already burden with assimilating pollution 
B)  Waste disposal costs are low 
C)  Society is expected to be compensated by the benefits to be realized from the avoidance
Of environmental damage that worth's more than the expenditure 
D)  Society is expected to be compensated by the benefits to be realized from the avoidance
 of environmental damage that worth's less than the expenditure 
E)  None of the above 
A)  The environment is already burden with assimilating pollution 
B)  Waste disposal costs are low 
C)  Society is expected to be compensated by the benefits to be realized from the avoidance
Of environmental damage that worth's more than the expenditure 
D)  Society is expected to be compensated by the benefits to be realized from the avoidance
 of environmental damage that worth's less than the expenditure 
E)  None of the above

Question 13

It is usually fairly straightforward to evaluate all aspects of pollution damage costs.

Accepted Answer

A) True 
 B)False

Question 14

The marginal pollution damage cost (MDC) curve damage cost curve measures the social
 cost of the damage to the environment in monetary terms.

Accepted Answer

A) True 
 B)False

Question 15

The optimal level of pollution is attained when the marginal control costs are equal to the
 marginal damage costs.

Accepted Answer

A) True 
 B)False

Question 16

Unlike pollution damage costs, pollution control costs do not result in market distortions.

Accepted Answer

A) True 
 B)False

Question 17

The costs of herbicidal run-offs into a river are an example of pollution damage costs.

Accepted Answer

A) True 
 B)False

Question 18

Figure 4B
  
-Refer to Figure 4B. Which of the following is an incorrect description of the marginal pollution-damage cost curve?

Accepted Answer

A)  Is an increasing function of pollution emissions 
B)  Shows that the damage caused by a unit of pollution increases progressively as the
 amount of pollution emitted increases 
C)  The marginal damage cost increases from $125 to $500 as the amount of waste emissions
 increases from 10 to 15 units 
D)  The marginal damage cost decreases from $125 to $500 as the amount of waste emissions
 increases from 10 to 15 units 
E)  All of the above are incorrect 
A)  Is an increasing function of pollution emissions 
B)  Shows that the damage caused by a unit of pollution increases progressively as the
 amount of pollution emitted increases 
C)  The marginal damage cost increases from $125 to $500 as the amount of waste emissions
 increases from 10 to 15 units 
D)  The marginal damage cost decreases from $125 to $500 as the amount of waste emissions
 increases from 10 to 15 units 
E)  All of the above are incorrect

Question 19

Figure 4A
  
-Refer to Figure 4a. As we emit more waste,

Accepted Answer

A)  We move from 15 to 5 on the x-axis 
B)  We move from 20 to 0 on the x-axis 
C)  We move from 0 to 50 on the y-axis 
D)  We move from 200 to 50 on the y-axis 
E)  None of the above 
A)  We move from 15 to 5 on the x-axis 
B)  We move from 20 to 0 on the x-axis 
C)  We move from 0 to 50 on the y-axis 
D)  We move from 200 to 50 on the y-axis 
E)  None of the above

Question 20

The sloped marginal pollution damage cost (MDC) curve implies that the damage caused
 by a unit of pollution remains constant as the amount of pollution emitted increases.

Accepted Answer

A) True 
 B)False

Figure 4C -Refer to Figure 4C. If waste emission is greater that Wk, then

If more emphasis is put on pollution cleanup than on pollution prevention, then

The marginal pollution control cost

Examples of pollution control costs include:

The sloped marginal pollution damage cost (MDC) curve implies that the damage caused by a unit of pollution decreases progressively as the amount of pollution emitted increases.

Which of the following statements is least accurate?

Pollution damage costs are externalities, which mean that the costs are incurred by members of a society before the pollution damages have already occurred.

The implied trade-off in dealing with a pollution problem is between prevention and damage costs.

Pollution damage costs are identified in terms of the losses of or damage to plants and animals, but not physical (man-made) infrastructures.

Figure 4C -Refer to Figure 4C. If waste emission is less than Wk, then

Pollution damage costs

From an economic viewpoint, expenditure on pollution control technology will make sense if

It is usually fairly straightforward to evaluate all aspects of pollution damage costs.

The marginal pollution damage cost (MDC) curve damage cost curve measures the social cost of the damage to the environment in monetary terms.

The optimal level of pollution is attained when the marginal control costs are equal to the marginal damage costs.

Unlike pollution damage costs, pollution control costs do not result in market distortions.

The costs of herbicidal run-offs into a river are an example of pollution damage costs.

Figure 4B -Refer to Figure 4B. Which of the following is an incorrect description of the marginal pollution-damage cost curve?

Figure 4A -Refer to Figure 4a. As we emit more waste,

The sloped marginal pollution damage cost (MDC) curve implies that the damage caused by a unit of pollution remains constant as the amount of pollution emitted increases.

The Natural Environment and the Human Economy: the Neoclassical Perspective

The Natural Environment and the Human Economy: an Ecological Perspective

Ecological and Technological Determinants of the Trade-Off Between Economic Activity and Environmental Quality

The Economics of Environmental Regulation I: Emission Standards and Effluent Charge

The Economics of Environmental Regulation Ii: Transferable Emission Credits, and the Macroeconomic Effects of Environmental Regulation

Alternative Methods of Valuation of Environmental Goods and Services

Frameworks for Assessing the Worthiness of Environmental Projects

The Economics of Climate Change

The Economics of Biodiversity

Biophysical Limits to Economic Growth: the Malthusianneo-Malthusianecological Economics Perspectives

Biophysical Limits to Economic Growth: the Neoclassical Perspective

The Economics of Sustainability

Green Accounting and Alternative Indicators of Sustainability

Filters

Exam 4: The Economic Theory of Pollution Control

Figure 4C -Refer to Figure 4C. If waste emission is greater that Wk, then

If more emphasis is put on pollution cleanup than on pollution prevention, then

The marginal pollution control cost

Examples of pollution control costs include:

The sloped marginal pollution damage cost (MDC) curve implies that the damage caused by a unit of pollution decreases progressively as the amount of pollution emitted increases.

Which of the following statements is least accurate?

Pollution damage costs are externalities, which mean that the costs are incurred by members of a society before the pollution damages have already occurred.

The implied trade-off in dealing with a pollution problem is between prevention and damage costs.

Pollution damage costs are identified in terms of the losses of or damage to plants and animals, but not physical (man-made) infrastructures.

Figure 4C -Refer to Figure 4C. If waste emission is less than Wk, then

Pollution damage costs

From an economic viewpoint, expenditure on pollution control technology will make sense if

It is usually fairly straightforward to evaluate all aspects of pollution damage costs.

The marginal pollution damage cost (MDC) curve damage cost curve measures the social cost of the damage to the environment in monetary terms.

The optimal level of pollution is attained when the marginal control costs are equal to the marginal damage costs.

Unlike pollution damage costs, pollution control costs do not result in market distortions.

The costs of herbicidal run-offs into a river are an example of pollution damage costs.

Figure 4B -Refer to Figure 4B. Which of the following is an incorrect description of the marginal pollution-damage cost curve?

Figure 4A -Refer to Figure 4a. As we emit more waste,

The sloped marginal pollution damage cost (MDC) curve implies that the damage caused by a unit of pollution remains constant as the amount of pollution emitted increases.

The Natural Environment and the Human Economy: the Neoclassical Perspective

The Natural Environment and the Human Economy: an Ecological Perspective

Ecological and Technological Determinants of the Trade-Off Between Economic Activity and Environmental Quality

The Economics of Environmental Regulation I: Emission Standards and Effluent Charge

The Economics of Environmental Regulation Ii: Transferable Emission Credits, and the Macroeconomic Effects of Environmental Regulation

Alternative Methods of Valuation of Environmental Goods and Services

Frameworks for Assessing the Worthiness of Environmental Projects

The Economics of Climate Change

The Economics of Biodiversity

Biophysical Limits to Economic Growth: the Malthusianneo-Malthusianecological Economics Perspectives

Biophysical Limits to Economic Growth: the Neoclassical Perspective

The Economics of Sustainability

Green Accounting and Alternative Indicators of Sustainability

Filters