Exam 17: Externalities, the Environment, and Natural Resources

____ has(have)traditionally been the chief instrument of environmental policy in the United States.

Increasing GDP generally causes increases in problems of waste disposal.

Voluntarism includes methods for dealing with pollution that

Supply and demand analysis

Which of the following could be called a virtue of raising prices of depletable resources?

Global warming of the past century,and especially in the past decade,is at least partly a consequence of human activities that have increased ____ in the atmosphere.

In the last three decades,air quality in American cities has improved.

Compare market price and quantity of steel to socially optimal price and quantity if steel producers ignore soot emitted from their smokestacks.Use a graph to assist your explanation.

Voluntary programs,direct controls,and emissions taxes are all equally effective ways of controlling pollution.

According to economic theory,under perfect competition,the price of a depletable resource whose costs of transportation and extraction are negligible

Rising prices of resources leads to inefficient resource use by industry.

Detrimental externalities like pollution are a shortcoming of the market mechanism.Do they occur in free market economies alone? Explain with examples.

Many economists argue that the most efficient way to control pollution is to

Following the sharp increases in oil prices in the United States caused by the OPEC oil embargo of 1973-1974,U.S.automakers started building smaller,more fuel-efficient cars.This development caused the

Environmental quality is

The observed change in the reserves of copper,lead,and zinc between 1960 and 1990 was most likely caused by

Regulations that strictly limit pollution

If coal prices are rising faster than the rate of interest,then

Most economists agree that exclusive reliance on direct controls

Emissions permits are sometimes referred to as a "license to pollute."