Module 65 & 29 Flashcards
Reading Check
What is an externality?
the cost of using a resource that is not included in the purchase price
What is GDP?
The value of all products and services produced by a country in a year
What is GPI?
The Genuine Progress Indicator, more holistic
personal consumption, income distribution,
What does the addition of externalities do to supply and demand?
Supply decreases as demand decreases because the cost is higher
technology transfer?
When less developed countries adopt technology from wealthy countries
Leapfrogging?
When less developed countries skip the precursor technologies and start by using new technologies
Natural Capital?
The resources of the planet
Human Capital?
Human knowledge and abilities
Manufactured Capital?
All goods and services that humans produce
Market failure?
When an economic system does not account for all costs
Environmental economics?
examines costs and benefits of policies for regulations of air and water
Ecological economics?
has the goal of preservation of natural capital
Valuation?
Assigning monetary value to natural benefits and natural capital
Tragedy of the Commons?
The tendency of a shared and limited resource to become depleted because people act out of self-interest or short-term benefit
Maximum Sustainable Yield (MSY)?
The maximum amount of a renewable resource that can be harvested without damaging future availability of that resource
