test 2 Flashcards
which of the following environmental control costs was discussed in class?
- add on controls
- cost of moving pollution to less harmful place
in the US, does environmental policy help the poor or rich more?
-helps those with above average income
which of the following best captures spatial impact of environmental policy?
-pollution should, on efficiency grounds, always be moved where it does the least amount of damage if b>c
travel cost undervaluing bias if
non-use values for the environmental good are high relative to use value
difference between tax and cap and trade
the ability to monitor emissions is critical either way
what valuing option is best for preservation value?
constructed markets
what qualities to fisheries have?
rivalrous and non excludable
what caused collapse of fishing industry?
missing market for fish scarcity
what assumptions are made in the downward spiraling model?
- exceeding assimilative capacity in current period lowered the capacity in future periods
- humans “cared” about any biological effect from exceeding assimilative capacity
possible offsets to implications of downward spiral
- relationship between output and waste load could be improved
- could be far below sustainable output
- movement to ecosystems far from human production
economists solution to how many should be allowed inside a recreation area
let people in only the point where they start having a negative effect on others
average location
average wage rent and size
good for households
w down, rent and size up
bad for households
w up, r and s down
good for firms
w, r, s all up
bad for firms
w,r,s all down
good for firms and households
w ambiguous, r and s up
bad for firms and households
w ambiguous, r and s down
good for firms, bad for households
w up, r and s ambiguous
good for households bad for firms
w down, r and s ambiguous
