Question 1

Forestry companies typically harvest and replant an area when trees are:

Accepted Answer

A)  very young and growing slowly. 
B)  middle aged and growing rapidly. 
C)  near the end of their rapid growth period. 
D)  extremely old and about to die anyway. 
A)  very young and growing slowly. 
B)  middle aged and growing rapidly. 
C)  near the end of their rapid growth period. 
D)  extremely old and about to die anyway.

Question 2

ACME Corporation used to produce $50 worth of goods (in year 2000 dollars)per million BTUs used.Now it produces $60 worth of goods (in year 2000 dollars)per million BTUs.Based on this,we can conclude:

Accepted Answer

A)  nothing about ACME's energy efficiency. 
B)  that ACME's energy efficiency has declined. 
C)  that ACME's energy efficiency has improved. 
D)  that ACME is using a single energy source and achieving economies of scale in production. 
A)  nothing about ACME's energy efficiency. 
B)  that ACME's energy efficiency has declined. 
C)  that ACME's energy efficiency has improved. 
D)  that ACME is using a single energy source and achieving economies of scale in production.

Question 3

Assuming that interest rates are positive,the present value of an $80 barrel of oil in two years is less than an $80 barrel today.

Accepted Answer

A) True 
 B)False

Question 4

Higher interest rates will,all else equal:

Accepted Answer

A)  increase the extraction cost of a resource. 
B)  increase the user cost of extracting a resource. 
C)  reduce the user cost of extracting a resource. 
D)  have no impact on either the user cost or extraction cost of a resource. 
A)  increase the extraction cost of a resource. 
B)  increase the user cost of extracting a resource. 
C)  reduce the user cost of extracting a resource. 
D)  have no impact on either the user cost or extraction cost of a resource.

Question 5

The cost of not being able to extract and sell a nonrenewable resource in the future (because it is being extracted in the present)is known by natural resource economists as the:

Accepted Answer

A)  extraction cost. 
B)  future cost. 
C)  conservation cost. 
D)  user cost. 
A)  extraction cost. 
B)  future cost. 
C)  conservation cost. 
D)  user cost.

Question 6

Melanie and Oli are competing Pacific halibut fishers.Both have been allocated ITQs that limit their catch to 1,000 tons of Pacific halibut each.Melanie's cost per ton is $20;Oli's cost per ton is $28. Refer to the information given.If the market price of Pacific halibut is $40 per ton,and Melanie and Oli both catch their quota,their combined profit will be:

Accepted Answer

A)  $12,000. 
B)  $22,000. 
C)  $25,000. 
D)  $32,000. 
A)  $12,000. 
B)  $22,000. 
C)  $25,000. 
D)  $32,000.

Question 7

For the past couple of decades,approximately how much trash per person per day has been generated in the United States?

Accepted Answer

A)  2 pounds. 
B)  3.4 pounds. 
C)  4.6 pounds. 
D)  12.8 pounds. 
A)  2 pounds. 
B)  3.4 pounds. 
C)  4.6 pounds. 
D)  12.8 pounds.

Question 8

The total fertility rate:

Accepted Answer

A)  measures the average number of children that a woman is expected to have during her lifetime. 
B)  measures the average number of children that each couple is expected to have during their lifetime. 
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)  measures the average number of children that each couple is expected to have during their lifetime. 
C)  equals the rate of population change over time. 
D)  rises as income rises.

Question 9

Productive inputs capable of replacing themselves if harvested at moderate rates are known as:

Accepted Answer

A)  renewable natural resources. 
B)  natural capital. 
C)  nonrenewable natural resources. 
D)  fossil fuels. 
A)  renewable natural resources. 
B)  natural capital. 
C)  nonrenewable natural resources. 
D)  fossil fuels.

Question 10

If a country has a total fertility rate of 1.8,then all else equal we would expect:

Accepted Answer

A)  population in that country to rise over time. 
B)  population in that country to fall over time. 
C)  the replacement rate to also equal 1.8. 
D)  the population to remain stable over time. 
A)  population in that country to rise over time. 
B)  population in that country to fall over time. 
C)  the replacement rate to also equal 1.8. 
D)  the population to remain stable over time.

Question 11

Higher user costs imply that a resource should be extracted more quickly.

Accepted Answer

A) True 
 B)False

Question 12

Individual transferable quotas are limited in their effectiveness because:

Accepted Answer

A)  they are only enforceable within 200 miles of a nation's shores. 
B)  government,rather than the market,sets their price. 
C)  they encourage wasteful spending by fishers in ITQ areas. 
D)  they are not tradable. 
A)  they are only enforceable within 200 miles of a nation's shores. 
B)  government,rather than the market,sets their price. 
C)  they encourage wasteful spending by fishers in ITQ areas. 
D)  they are not tradable.

Question 13

Power plants with the lowest operating costs tend to:

Accepted Answer

A)  have the lowest fixed costs in terms of construction. 
B)  have the highest fixed costs in terms of construction. 
C)  operate on the smallest scale of energy production. 
D)  generate the cleanest energy. 
A)  have the lowest fixed costs in terms of construction. 
B)  have the highest fixed costs in terms of construction. 
C)  operate on the smallest scale of energy production. 
D)  generate the cleanest energy.

Question 14

Human beings consume more both in absolute terms and on a per capita basis than they did 200 years ago.

Accepted Answer

A) True 
 B)False

Question 15

Present value allows us to weigh the benefits and costs of using resources today or in the future.

Accepted Answer

A) True 
 B)False

Question 16

A total fertility rate of 1.0 will cause the:

Accepted Answer

A)  population to remain stable. 
B)  population to double in one generation. 
C)  population to collapse in one generation. 
D)  next generation to be half the size of the current generation. 
A)  population to remain stable. 
B)  population to double in one generation. 
C)  population to collapse in one generation. 
D)  next generation to be half the size of the current generation.

Question 17

Over the past two decades,total and per capita water use in the United States have:

Accepted Answer

A)  both increased. 
B)  leveled off and fallen,respectively. 
C)  fallen and leveled off,respectively. 
D)  increased and fallen,respectively. 
A)  both increased. 
B)  leveled off and fallen,respectively. 
C)  fallen and leveled off,respectively. 
D)  increased and fallen,respectively.

Question 18

Per capita water use in the United States has steadily increased since 1973.

Accepted Answer

A) True 
 B)False

Question 19

About two-thirds of U.S.electricity is generated at coal and gas plants.

Accepted Answer

A) True 
 B)False

Question 20

Elephants are moving closer to extinction in places where they are treated as private property.

Accepted Answer

A) True 
 B)False

Forestry companies typically harvest and replant an area when trees are:

ACME Corporation used to produce $50 worth of goods (in year 2000 dollars)per million BTUs used.Now it produces $60 worth of goods (in year 2000 dollars)per million BTUs.Based on this,we can conclude:

Assuming that interest rates are positive,the present value of an $80 barrel of oil in two years is less than an $80 barrel today.

Higher interest rates will,all else equal:

The cost of not being able to extract and sell a nonrenewable resource in the future (because it is being extracted in the present)is known by natural resource economists as the:

For the past couple of decades,approximately how much trash per person per day has been generated in the United States?

The total fertility rate:

Productive inputs capable of replacing themselves if harvested at moderate rates are known as:

If a country has a total fertility rate of 1.8,then all else equal we would expect:

Higher user costs imply that a resource should be extracted more quickly.

Individual transferable quotas are limited in their effectiveness because:

Power plants with the lowest operating costs tend to:

Human beings consume more both in absolute terms and on a per capita basis than they did 200 years ago.

Present value allows us to weigh the benefits and costs of using resources today or in the future.

A total fertility rate of 1.0 will cause the:

Over the past two decades,total and per capita water use in the United States have:

Per capita water use in the United States has steadily increased since 1973.

About two-thirds of U.S.electricity is generated at coal and gas plants.

Elephants are moving closer to extinction in places where they are treated as private property.

Limits, Alternatives, and Choices

The Market System and the Circular Flow

Demand, Supply, and Market Equilibrium

Market Failures: Public Goods and Externalities

Governments Role and Government Failure

Elasticity

Utility Maximization

Behavioral Economics

Businesses and the Cost of Production

Pure Competition in the Short Run

Pure Competition in the Long Run

Pure Monopoly

Monopolistic Competition and Oligopoly

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

Filters

Exam 18: Natural Resource and Energy Economics

Forestry companies typically harvest and replant an area when trees are:

ACME Corporation used to produce $50 worth of goods (in year 2000 dollars)per million BTUs used.Now it produces $60 worth of goods (in year 2000 dollars)per million BTUs.Based on this,we can conclude:

Assuming that interest rates are positive,the present value of an $80 barrel of oil in two years is less than an $80 barrel today.

Higher interest rates will,all else equal:

The cost of not being able to extract and sell a nonrenewable resource in the future (because it is being extracted in the present)is known by natural resource economists as the:

For the past couple of decades,approximately how much trash per person per day has been generated in the United States?

The total fertility rate:

Productive inputs capable of replacing themselves if harvested at moderate rates are known as:

If a country has a total fertility rate of 1.8,then all else equal we would expect:

Higher user costs imply that a resource should be extracted more quickly.

Individual transferable quotas are limited in their effectiveness because:

Power plants with the lowest operating costs tend to:

Human beings consume more both in absolute terms and on a per capita basis than they did 200 years ago.

Present value allows us to weigh the benefits and costs of using resources today or in the future.

A total fertility rate of 1.0 will cause the:

Over the past two decades,total and per capita water use in the United States have:

Per capita water use in the United States has steadily increased since 1973.

About two-thirds of U.S.electricity is generated at coal and gas plants.

Elephants are moving closer to extinction in places where they are treated as private property.

Limits, Alternatives, and Choices

The Market System and the Circular Flow

Demand, Supply, and Market Equilibrium

Market Failures: Public Goods and Externalities

Governments Role and Government Failure

Elasticity

Utility Maximization

Behavioral Economics

Businesses and the Cost of Production

Pure Competition in the Short Run

Pure Competition in the Long Run

Pure Monopoly

Monopolistic Competition and Oligopoly

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

Filters