Midterm Review Flashcards
What percentage of Alaskans income comes from wages and salaries – from working?
65%
Is the Permanent Fund Dividend an “income from investments” or is it a transfer payment?
It is a transfer payment
Has Alaska’s per capita income been going up, down, or staying the same over the last few years?
Relative to other states, Alaska’s per capita income has been going down since 2010 as the rest of the country came out of a recession as Alaska entered one.
Alaska has a more equal distribution of income than almost any other state. True or False?
True
Subsistence – hunting, fishing, and food gathered from the land – is not counted as income in most official government statistics. It was not part of the statistics used for homework article. If you were to put a monetary value on the subsistence income of Alaska residents, what type of income would count it as?
Work income
A graduate of UAA invents an economic use for alders (the tree). She spends $100 million to construct an alder-processing plant in mid-town Anchorage and immediately hires a 10,000 new workers. What are the two most likely short-term effects (first year or so)?
- Alaska’s unemployment rate would go down
- Alaska wage rates would go up
What are the three most likely long-term effects (changes over a period of several years) of the new alder-processing facility described in the last question?
- More people would move to Alaska
- Alaska’s unemployment rate would stay about the same
- Alaska wage rates would stay about the same
How does the “Jones Act” affect the cost of transportation to Alaska?
Raises it for water-borne transportation
Over the past 50 years, the cost of transporting goods to and from Alaska has dropped. What private sector activity has this made more difficult in Alaska?
Private sector production of goods for the Alaska market
The Jones Act allows the transport of oil between Anchorage and the U.S. West Coast in a tanker built in a foreign country.
False
Over the last few years, the Alaska economy has been in a recession. The remainder of the U.S. economy has been strong. This has prompted:
Net outmigration
Suppose Alaska passes a law that provides that oil producers are required to process oil into gasoline into Alaska. Crude oil exports are outlaws. Which of the following are true:
- Employment in Alaska would increase
- Oil producers would make less profit.
What is an enclave economy?
Economic activity located within a geographic region but which is not integrated with the economy of the region.
Alaska companies which produce products for export are likely to receive:
The world price minus the cost of transportation.
A company which imports material from outside Alaska pays:
The world price plus transportation cost.
True or False: It would be good for Alaska fishermen if the state required processors to sometimes make a product – like fish sticks – from the raw fish before exporting it.
False
Imagine that you lived in a remote Alaskan village. Which of the following economic activities have the most potential for success? More than one answer is possible. Note, in the question, “Outside market” means a market outside Alaska.
- Private sector production of significant natural resources, such as mining, timber, or oil, for Outside markets.
- Private sector production of services for the local market.
Where is Alaska’s North Slope?
North of the Brooks Range
What is the permafrost situation near Juneau?
Free from permafrost.
What is the area called outside of Alaska’s regional local government?
The “Unorganized Borough”
Located in the Aleutian Islands, 800 air miles from Anchorage. This city is the largest U.S. Fishing port and the center of the Bering Sea fishing Industry. It was also the Location of a large Navy based during WWII, which was bombed by the Japanese.
Dutch Harbor/Unalaska
What is the farthest north one may drive in Alaska (at least with a commercial vehicle)?
Prudhoe Bay
What community is the southern terminus of the Trans Alaska Pipeline?
Valdez
In the song “North to Alaska,” (from the movie of the same name) George tells Big Sam that “I’d build for my Jenny a honeymoon home; below that old white mountain, just a little south-east of Nome.” What’s wrong with these lyrics?
There is nothing southeast of Nome but water – the ocean.
According to the Alaska Constitution, what minimum percentage of oil and mineral royalties must be put into the Alaska Permanent Fund?
25%
How far out to sea does the U.S. jurisdiction over fisheries extend?
200 miles
What do the initials ANCSA stand for?
Alaskan Native Claims Settlement Act
What do the initials ANILCA stand for?
Alaska National Interest Lands Conservation Act
What does net migration mean?
In-migration minus out-migration
What natural resources did the Russians want from Alaska?
Fur
What was a big factor “raining down dollars” into Alaska’s economy in the period 2000-2009?
Federal Spending
What year was the largest volume of oil transported through the Trans Alaska Pipeline?
1988
When Alaska has a number of years in a row of net out-migration, this can be a sign of:
- Tough economic times in Alaska
- A job market in the rest of the US that is better than Alaska
When did Alaska become a state
1959
When did Alaska start using part of the Permanent Fund to fund government services?
2018
When did the Russians “discover” Alaska?
1741
When did the U.S. purchase Alaska from Russia?
1867
When was Prudhoe Bay discovered
1968
When was gold first discovered in Nome?
1898
When was the Good Friday Earthquake?
1964 - Dad’s birth year
When was the Trans Alaska Pipeline Finished?
1977
Which of the following caused significant net out-migration from Alaska?
- The completion of the Trans Alaska Pipeline
- Low oil prices, and therefore state government spending after 2014
Who lived in the Anchorage area before the establishment of the city of Anchorage in 1915?
Dena’ina
Wrangell St. Elias National Park was created by which federal legislation?
ANILCA
What statements are true about Section 7i of ANCSA
It requires a Regional Corporation to share 70% of its revenue from its oil wealth with other Regional Corporations.
When deciding whether to develop land or conserve it for its natural uses, which statement(s) are likely to be true?
- People outside Alaska are more likely to favor conservation than those within Alaska.
- Sometimes Native shareholders are likely to favor development and jobs more than conservation.
What is the approximate land area of Alaska
365 million acres
Approximately what percentage of the land area of Alaska is owned by the federal government?
58%
