Question 1

The fastest growing public health problem in the United States today is:

Accepted Answer

A)  drug-related accidents. 
B)  diabetes,which is linked to rising obesity rates. 
C)  sexually transmitted diseases. 
D)  smoking-related diseases. 
A)  drug-related accidents. 
B)  diabetes,which is linked to rising obesity rates. 
C)  sexually transmitted diseases. 
D)  smoking-related diseases.

Question 2

Which of the following is DIRECTLY caused by acid rain?

Accepted Answer

A)  damage to property 
B)  reduced visibility 
C)  adverse health outcomes 
D)  climate change 
A)  damage to property 
B)  reduced visibility 
C)  adverse health outcomes 
D)  climate change

Question 3

Discuss the difference between the problem of global warming and the problem of ozone depletion,including how these differences have affected resolutions to the underlying problems.

Accepted Answer

The problem of ozone depletion was cause

Question 4

By the early 1980s,which statement was TRUE?

Accepted Answer

A)  Total emissions were higher than they were before the Clean Air Act of 1970. 
B)  Total emissions were lower than they were before the Clean Air Act of 1970. 
C)  Most emissions were due to the construction of new (post-1970)coal-burning plants. 
D)  The requirements of the Clean Air Act of 1970 had proven too burdensome. 
A)  Total emissions were higher than they were before the Clean Air Act of 1970. 
B)  Total emissions were lower than they were before the Clean Air Act of 1970. 
C)  Most emissions were due to the construction of new (post-1970)coal-burning plants. 
D)  The requirements of the Clean Air Act of 1970 had proven too burdensome.

Question 5

The average weight of American adults increased by about 10 pounds in the 1990s.In November 2004,it was reported that U.S.airlines spent $275 million more in fuel costs to transport this additional weight.Under what circumstances would this increased cost be an externality of obesity,and under what circumstances would it not be an externality?

Accepted Answer

If airlines can pass along the costs of

Question 6

A grandfather clause in a regulation typically exempts existing facilities or operations from the new regulation.For example,the Clean Air Act of 1970 exempted existing plants from the regulation,affecting only new plants.What was the rationale for including a grandfather clause in something like the Clean Air Act of 1970? Describe a negative result of the grandfather clause used in the 1970 act?

Accepted Answer

Grandfather clauses are typically used t

Question 7

According to economists Becker and Murphy (1998),"rational" addicts:

Accepted Answer

A)  do not take into account the potential costs associated with smoking. 
B)  are not capable of making rational choices,so government action is needed. 
C)  do not understand that smoking today increases their addiction in the future. 
D)  understand that smoking today increases their addiction in the future. 
A)  do not take into account the potential costs associated with smoking. 
B)  are not capable of making rational choices,so government action is needed. 
C)  do not understand that smoking today increases their addiction in the future. 
D)  understand that smoking today increases their addiction in the future.

Question 8

Evaluate the success of the Clean Air Act (CAA)of 1970 and the 1990 amendments.What are the important issues that should be considered in order to analyze these regulations accurately?

Accepted Answer

The regulations can be considered succes

Question 9

How might the externality of smoking be different in a state in which unions negotiate common wages for all employees in similar positions in a company versus a state in which there are no labor unions and wages are negotiated by each employee? Assume that all other aspects of these two states are identical.

Accepted Answer

One possible externality works through l

Question 10

The Clean Air Act of 1970 forced utilities to:

Accepted Answer

A)  install scrubbers on power plants built before 1970 or switch to low-sulfur coal. 
B)  install scrubbers on power plants built after 1970 or switch to low-sulfur coal. 
C)  relocate large numbers of power plants to Mexico. 
D)  immediately replace older,dirtier power plants with new plants equipped with scrubbers. 
A)  install scrubbers on power plants built before 1970 or switch to low-sulfur coal. 
B)  install scrubbers on power plants built after 1970 or switch to low-sulfur coal. 
C)  relocate large numbers of power plants to Mexico. 
D)  immediately replace older,dirtier power plants with new plants equipped with scrubbers.

Question 11

The negative externality that could potentially cause the most harm to humans is:

Accepted Answer

A)  the greenhouse effect,which allows sunlight to enter the atmosphere and traps the heat. 
B)  the increase in the magnitude of the greenhouse effect and the resulting changes in the earth's climate. 
C)  increased acidity of lakes and streams caused by emissions of sulfur dioxide and nitrogen oxides. 
D)  the corrosion of metals and deterioration of stone caused by acid rain. 
A)  the greenhouse effect,which allows sunlight to enter the atmosphere and traps the heat. 
B)  the increase in the magnitude of the greenhouse effect and the resulting changes in the earth's climate. 
C)  increased acidity of lakes and streams caused by emissions of sulfur dioxide and nitrogen oxides. 
D)  the corrosion of metals and deterioration of stone caused by acid rain.

Question 12

The Clean Air Act of 1970 was intended to reduce the emissions that cause acid rain by:

Accepted Answer

A)  setting standards for new coal-fired power plants. 
B)  setting standards for existing coal-fired power plants. 
C)  imposing a tax on energy produced by coal-fired power plants. 
D)  requiring that existing coal-fired power plants install scrubbers. 
A)  setting standards for new coal-fired power plants. 
B)  setting standards for existing coal-fired power plants. 
C)  imposing a tax on energy produced by coal-fired power plants. 
D)  requiring that existing coal-fired power plants install scrubbers.

Question 13

Which statement implies that smoking causes a negative externality?

Accepted Answer

A)  Employers lower all wages to account for less productive workers. 
B)  Smokers die too early to collect Social Security benefits. 
C)  Insurance companies adjust insurance premiums for smoking status. 
D)  Income earned by smokers is reduced because they tend to be less productive. 
A)  Employers lower all wages to account for less productive workers. 
B)  Smokers die too early to collect Social Security benefits. 
C)  Insurance companies adjust insurance premiums for smoking status. 
D)  Income earned by smokers is reduced because they tend to be less productive.

Question 14

If all the effects of secondhand smoke occurred among a person's family in his or her home,is there any alternative to a public sector approach of taxes,subsidies,or regulation to resolving this externality? Explain.

Accepted Answer

In this case,a Coasian solution may be i

Question 15

When sulfur dioxide is released into the atmosphere,it combines with hydrogen to form sulfuric acid,also known as particulates.The health costs associated with these particulates:

Accepted Answer

A)  can be observed by comparing outcomes in areas with high levels to outcomes in areas with low levels of particulates. 
B)  is not significant because economic costs relate only to property damage. 
C)  cannot be estimated because there is no way to determine the cause of differential health outcomes. 
D)  can best be estimated based on quasi-experiments with treatment and control groups. 
A)  can be observed by comparing outcomes in areas with high levels to outcomes in areas with low levels of particulates. 
B)  is not significant because economic costs relate only to property damage. 
C)  cannot be estimated because there is no way to determine the cause of differential health outcomes. 
D)  can best be estimated based on quasi-experiments with treatment and control groups.

Question 16

Which country was the top fossil fuel carbon dioxide emitter in 2012?

Accepted Answer

A)  United States 
B)  Russia 
C)  Germany 
D)  China 
A)  United States 
B)  Russia 
C)  Germany 
D)  China

Question 17

Which of statement implies that smoking causes a positive externality?

Accepted Answer

A)  Employers lower all wages to account for less productive workers. 
B)  Smokers die too early to collect Social Security benefits. 
C)  Insurance companies adjust insurance premiums for smoking status. 
D)  Income earned by smokers is reduced because they tend to be less productive. 
A)  Employers lower all wages to account for less productive workers. 
B)  Smokers die too early to collect Social Security benefits. 
C)  Insurance companies adjust insurance premiums for smoking status. 
D)  Income earned by smokers is reduced because they tend to be less productive.

Question 18

The 1997 global meeting on climate change in Kyoto,Japan,addressed:

Accepted Answer

A)  acid rain only. 
B)  global warming only. 
C)  neither acid rain nor global warming. 
D)  both acid rain and global warming. 
A)  acid rain only. 
B)  global warming only. 
C)  neither acid rain nor global warming. 
D)  both acid rain and global warming.

Question 19

Global warming is primarily caused by an increase in what gas?

Accepted Answer

A)  carbon monoxide 
B)  nitric oxide 
C)  sulfur dioxide 
D)  carbon dioxide 
A)  carbon monoxide 
B)  nitric oxide 
C)  sulfur dioxide 
D)  carbon dioxide

Question 20

Acid rain is an example of a classic:

Accepted Answer

A)  positive production externality. 
B)  positive consumption externality. 
C)  negative production externality. 
D)  negative consumption externality. 
A)  positive production externality. 
B)  positive consumption externality. 
C)  negative production externality. 
D)  negative consumption externality.

Exam 6: Externalities in Action- Environmental and Health Externalities

The fastest growing public health problem in the United States today is:

Which of the following is DIRECTLY caused by acid rain?

Discuss the difference between the problem of global warming and the problem of ozone depletion,including how these differences have affected resolutions to the underlying problems.

By the early 1980s,which statement was TRUE?

According to economists Becker and Murphy (1998),"rational" addicts:

Evaluate the success of the Clean Air Act (CAA)of 1970 and the 1990 amendments.What are the important issues that should be considered in order to analyze these regulations accurately?

The Clean Air Act of 1970 forced utilities to:

The negative externality that could potentially cause the most harm to humans is:

The Clean Air Act of 1970 was intended to reduce the emissions that cause acid rain by:

Which statement implies that smoking causes a negative externality?

If all the effects of secondhand smoke occurred among a person's family in his or her home,is there any alternative to a public sector approach of taxes,subsidies,or regulation to resolving this externality? Explain.

When sulfur dioxide is released into the atmosphere,it combines with hydrogen to form sulfuric acid,also known as particulates.The health costs associated with these particulates:

Which country was the top fossil fuel carbon dioxide emitter in 2012?

Which of statement implies that smoking causes a positive externality?

The 1997 global meeting on climate change in Kyoto,Japan,addressed:

Global warming is primarily caused by an increase in what gas?

Acid rain is an example of a classic:

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