Question 1

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

Accepted Answer

A) True 
 B)False

Question 2

Renewable resources:

Accepted Answer

A)   can never be exhausted permanently.
B)   can be exhausted if harvest rates exceed replenishment rates for an extended period.
C)   can be exhausted if replenishment rates exceed harvest rates for an extended period.
D)   will tend to be overharvested when they are private property.E) A) and B)
F) B) and D)

Question 3

The total cost of extracting and selling a resource in a given year is the sum of the extraction cost and user cost.

Accepted Answer

A) True 
 B)False

Question 4

(Last Word) Most economists view economic growth as:

Accepted Answer

A)   good for the environment because richer economies spend more on environmental protection.
B)   bad for the environment because richer economies extract resources at a faster rate.
C)   good for the environment because richer economies produce fewer chemicals.
D)   bad for the environment because people in richer economies tend to care less about the environment.E) A) and B)
F) None of the above

Question 5

An increase in the present value of the profit that can be obtained by delaying resource extraction will lead profit-maximizing firms to:

Accepted Answer

A)   reduce extraction in the present.
B)   increase the current rate of extraction.
C)   invest in less extraction equipment.
D)   hire more workers to support current production.E) B) and C)
F) A) and B) A

Question 6

The Economist's Commodity Price Index reveals that the supply of productive resources has increased faster than the demand for decades.

Accepted Answer

A) True 
 B)False

Question 7

Over the past decade,U.S.per capita consumption of water:

Accepted Answer

A)   and energy have both increased.
B)   has increased,while per capita consumption of energy has fallen.
C)   and energy have leveled off or fallen.
D)   has fallen,while per capita consumption of energy has increased.E) B) and C)
F) A) and D)

Question 8

Since 1850,the:

Accepted Answer

A)   supply and demand for productive resources have grown at the same rate.
B)   supply of productive resources has grown faster than the demand for those resources.
C)   demand for productive resources has grown faster than the supply of those resources.
D)   supply of productive resources has increased,while the demand has fallen.E) A) and C)
F) None of the above

Question 9

In fisheries management,ITQ stands for:

Accepted Answer

A)   international transferable quota.
B)   individual transferable quota.
C)   international tuna quotas.
D)   individual trolling quotas.E) A) and D)
F) B) and C)

Question 10

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.E) B) and C)
F) A) and B)

Question 11

Mining of "conflict diamonds" tends to:

Accepted Answer

A)   be more profitable as warring factions are willing to pay more for the diamonds.
B)   occur at a slower pace than would maximize the long-term stream of profits because war increases extraction costs.
C)   occur at a pace slower than would maximize the long-term stream of profits since the war disrupts production.
D)   occur at a pace faster than would maximize the long-term stream of profits since warring factions extract diamonds as quickly as possible due to fears that they may soon lose control of the diamond mines.E) B) and C)
F) C) and D)

Question 12

(Consider This) The tragedy of the commons occurs primarily:

Accepted Answer

A)   where government subsidies are present.
B)   when incentives to preserve are strongest.
C)   where property rights are lacking.
D)   on privately held lands.E) None of the above
F) A) and B)

Question 13

In the absence of enforceable property rights,there is little incentive to preserve resources for future use.

Accepted Answer

A) True 
 B)False

Question 14

The user cost of extracting a nonrenewable resource is:

Accepted Answer

A)   the sum of the dollar expenditures incurred to extract the resource.
B)   the cost of not being able to extract it in the future if it is extracted and sold in the present.
C)   the selling price of the resource to the companies using it to produce goods and services.
D)   directly proportional to how much of the nonrenewable resource remains.E) None of the above
F) A) and D)

Question 15

Rapid population growth since 1800 has occurred primarily because of:

Accepted Answer

A)   a significant increase in total fertility rates as living standards have risen.
B)   a significant reduction in death rates as living standards have risen.
C)   a significant increase in replacement rates as living standards have risen.
D)   all of these.E) A) and B)
F) A) and C)

Question 16

In the United States and parts of Western Europe,the amount of land covered by forests is increasing.

Accepted Answer

A) True 
 B)False

Question 17

Demographers expect world population to ultimately decline in the next century.

Accepted Answer

A) True 
 B)False  True

Question 18

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. Refer to the information given.If the market price of sockeye salmon is $15 per ton,what is the minimum amount per ton that Kara would have to offer Kyle to convince him to sell Kara his ITQs?

Accepted Answer

A)   $3.
B)   $4.
C)   $5.
D)   $7.E) B) and D)
F) A) and B)

Question 19

A rising standard of living will:

Accepted Answer

A)   necessarily reduce the population by reducing the birthrate.
B)   increase the birthrate.
C)   reduce the birthrate,but population may continue to grow if the death rate falls more quickly.
D)   reduce the birthrate initially but will increase the birthrate significantly at higher levels of income as people can afford to have more children.E) A) and B)
F) All of the above C

Question 20

Many demographers expect world population to:

Accepted Answer

A)   increase exponentially into the foreseeable future.
B)   decline from its current level in the next two decades.
C)   peak at 9 billion or fewer,and then decline.
D)   plateau at around 7.5 billion,and then continue to increase rapidly.E) B) and C)
F) C) and D)

Exam 18: Natural Resource and Energy Economics

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

Correct Answer
verified

Renewable resources:

Correct Answer
verified

The total cost of extracting and selling a resource in a given year is the sum of the extraction cost and user cost.

Correct Answer
verified

(Last Word) Most economists view economic growth as:

Correct Answer
verified

An increase in the present value of the profit that can be obtained by delaying resource extraction will lead profit-maximizing firms to:

Correct Answer
verified
A

The Economist's Commodity Price Index reveals that the supply of productive resources has increased faster than the demand for decades.

Correct Answer
verified

Over the past decade,U.S.per capita consumption of water:

Correct Answer
verified

Since 1850,the:

Correct Answer
verified

In fisheries management,ITQ stands for:

Correct Answer
verified

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

Correct Answer
verified

Mining of "conflict diamonds" tends to:

Correct Answer
verified

(Consider This) The tragedy of the commons occurs primarily:

Correct Answer
verified

In the absence of enforceable property rights,there is little incentive to preserve resources for future use.

Correct Answer
verified

The user cost of extracting a nonrenewable resource is:

Correct Answer
verified

Rapid population growth since 1800 has occurred primarily because of:

Correct Answer
verified

In the United States and parts of Western Europe,the amount of land covered by forests is increasing.

Correct Answer
verified

Demographers expect world population to ultimately decline in the next century.

Correct Answer
verified
True

Correct Answer
verified

A rising standard of living will:

Correct Answer
verified
C

Many demographers expect world population to:

Correct Answer
verified

Exam 18: Natural Resource and Energy Economics

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

Correct AnswerverifiedShow Answer

Renewable resources:

Correct AnswerverifiedShow Answer

The total cost of extracting and selling a resource in a given year is the sum of the extraction cost and user cost.

Correct AnswerverifiedShow Answer

(Last Word) Most economists view economic growth as:

Correct AnswerverifiedShow Answer

An increase in the present value of the profit that can be obtained by delaying resource extraction will lead profit-maximizing firms to:

Correct AnswerverifiedA

The Economist's Commodity Price Index reveals that the supply of productive resources has increased faster than the demand for decades.

Correct AnswerverifiedShow Answer

Over the past decade,U.S.per capita consumption of water:

Correct AnswerverifiedShow Answer

Since 1850,the:

Correct AnswerverifiedShow Answer

In fisheries management,ITQ stands for:

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

Mining of "conflict diamonds" tends to:

Correct AnswerverifiedShow Answer

(Consider This) The tragedy of the commons occurs primarily:

Correct AnswerverifiedShow Answer

In the absence of enforceable property rights,there is little incentive to preserve resources for future use.

Correct AnswerverifiedShow Answer

The user cost of extracting a nonrenewable resource is:

Correct AnswerverifiedShow Answer

Rapid population growth since 1800 has occurred primarily because of:

Correct AnswerverifiedShow Answer

In the United States and parts of Western Europe,the amount of land covered by forests is increasing.

Correct AnswerverifiedShow Answer

Demographers expect world population to ultimately decline in the next century.

Correct AnswerverifiedTrue

Correct AnswerverifiedShow Answer

A rising standard of living will:

Correct AnswerverifiedC

Many demographers expect world population to:

Correct AnswerverifiedShow Answer

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A

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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True

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C

Correct Answer
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