Question 1

(Consider This)  Which of the following nations has implemented policies that pay women to have additional children?

Accepted Answer

A)   Italy
B)   United States
C)   China
D)   all of these nationsE) A) and D)
F) All of the above

Question 2

Recent studies indicate that as the price of a barrel of oil rises to $80, the use of biodiesel as an alternative fuel becomes economically viable.

Accepted Answer

A) True 
 B)False

Question 3

If a country has a total fertility rate of 1.8, then, all else equal, we would expect

Accepted Answer

A)   population in that country to rise over time.
B)   population in that country to fall over time.
C)   the replacement rate to also equal 1.8.
D)   the population to remain stable over time.E) B) and D)
F) None of the above

Question 4

Which of the following countries had the highest fertility rate in 2015, according to The World Factbook data?

Accepted Answer

A)   Japan
B)   China
C)   France
D)   the United StatesE) None of the above
F) B) and C)

Question 5

Which of the following would cause the present optimal extraction level of a nonrenewable resource to fall?

Accepted Answer

A)   an increase in the present value of expected future profits
B)   a decrease in extraction costs
C)   a decrease in user costs
D)   an increase in the current price of the resourceE) C) and D)
F) All of the above

Question 6

As of 2016, the world's population is approximately

Accepted Answer

A)   7.4 billion.
B)   5.3 billion.
C)   10 billion.
D)   1.2 trillion.E) C) and D)
F) B) and D)

Question 7

If the world begins to run out of oil, which of the following statements would be incorrect?

Accepted Answer

A)   The relative price of oil would become very high.
B)   The world would run out of energy.
C)   Alternative energy sources would become economically viable.
D)   The cost of energy would rise.E) A) and B)
F) B) and D)

Question 8

In modern economies, the cost of raising children has

Accepted Answer

A)   decreased because of laxer enforcement of laws that make child labor illegal.
B)   increased because of stronger enforcement of laws that make child labor illegal.
C)   increased because of fewer requirements for schooling until adulthood.
D)   decreased because of more requirements for schooling until adulthood.E) A) and B)
F) A) and C)

Question 9

When the benefits of conservation and future use are excluded from a cost-benefit analysis, there is a tendency to

Accepted Answer

A)   more efficiently allocate resources.
B)   overvalue future resources by considering them "priceless."
C)   stop resource extraction.
D)   extract and use resources as quickly as possible.E) B) and C)
F) A) and C)

Question 10

In time-value of money analysis, an increase in interest rates

Accepted Answer

A)   raises the present value of a future amount.
B)   lowers the present value of a future amount.
C)   lowers the future value of a present amount.
D)   has no effect on present or future amount.E) A) and D)
F) C) and D)

Question 11

Just over half (55 percent)  of U.S. electricity is generated from

Accepted Answer

A)   hydroelectric.
B)   petroleum.
C)   nuclear energy.
D)   coal and gas.E) B) and D)
F) B) and C)

Question 12

A fishery collapse occurs when the

Accepted Answer

A)   fishery goes out of business.
B)   fishery is taken over by a government agency.
C)   fishery's population is harvested at a higher rate than it reproduces.
D)   fishery's population reproduces at a higher rate than it's harvested.E) A) and C)
F) C) and D)

Question 13

Taking into account infant and child mortality, the total fertility rate that is necessary to keep a country's population from falling over time is

Accepted Answer

A)   less than 1 birth per woman per lifetime.
B)   equal to about 1 birth per woman per lifetime.
C)   equal to about 1.5 births per woman per lifetime.
D)   slightly more than 2 births per woman per lifetime.E) All of the above
F) C) and D)

Question 14

An electricity company is considering damming a small river to generate electricity at a cost of $160,000 and a profit of $200,000 in 5 years. The current market rate is 5 percent. Should the company make the investment?

Accepted Answer

A)   Yes, the future value of the profit is greater than the present value of the cost.
B)   No, the future value of the profit is less than the present value of the cost.
C)   Yes, the present value of the profit is greater than the present value of the cost.
D)   No, the present value of the profit is less than the present value of the cost.E) B) and C)
F) C) and D)

Question 15

According to Paul Ehrlich's 1968 prediction in The Population Bomb, population growth would result in

Accepted Answer

A)   overuse of natural resources, leading to famines.
B)   stable uses of natural resources, creating long-term stability.
C)   efficient use of natural resources, fostering prosperity.
D)   reduced dependence on natural resources, leading to growth.E) All of the above
F) C) and D)

Question 16

Average per capita water consumption in the United States was approximately how many gallons per day in 2010?

Accepted Answer

A)   355
B)   764
C)   1,941
D)   1,134E) A) and C)
F) A) and B)

Question 17

Rapid population growth since 1800 has occurred primarily because of

Accepted Answer

A)   a significant increase in total fertility rates as living standards have risen.
B)   a significant reduction in death rates as living standards have risen.
C)   a significant increase in replacement rates as living standards have risen.
D)   all of the reasons given in the other possible answers.E) B) and C)
F) B) and D)

Question 18

Which of the following policies has succeeded in reducing fishery catch sizes without creating an "arms race" among fishers?

Accepted Answer

A)   limiting the length of the catch season
B)   limiting the number of boats allowed in a given area
C)   limiting catch size (TA
C)  
D)   issuing individual transferable quotas (ITQs) E) A) and C)
F) All of the above

Question 19

In the extraction of a nonrenewable resource such as coal, the mining firm faces "user costs," which refers to the cost of digging out the coal, running the mine, and transporting the coal.

Accepted Answer

A) True 
 B)False

Question 20

Malthus's theory states that living standards could only temporarily rise above subsistence levels.

Accepted Answer

A) True 
 B)False

Exam 19: Natural Resource and Energy Economics

Taking into account infant and child mortality, the total fertility rate that is necessary to keep a country's population from falling over time is

Correct AnswerverifiedShow Answer

When the benefits of conservation and future use are excluded from a cost-benefit analysis, there is a tendency to

Correct AnswerverifiedShow Answer

(Consider This) Which of the following nations has implemented policies that pay women to have additional children?

Correct AnswerverifiedShow Answer

In modern economies, the cost of raising children has

Correct AnswerverifiedShow Answer

In time-value of money analysis, an increase in interest rates

Correct AnswerverifiedShow Answer

Which of the following policies has succeeded in reducing fishery catch sizes without creating an "arms race" among fishers?

Correct AnswerverifiedShow Answer

A fishery collapse occurs when the

Correct AnswerverifiedShow Answer

Which of the following countries had the highest fertility rate in 2015, according to The World Factbook data?

Correct AnswerverifiedShow Answer

Rapid population growth since 1800 has occurred primarily because of

Correct AnswerverifiedShow Answer

Recent studies indicate that as the price of a barrel of oil rises to $80, the use of biodiesel as an alternative fuel becomes economically viable.

Correct AnswerverifiedShow Answer

Malthus's theory states that living standards could only temporarily rise above subsistence levels.

Correct AnswerverifiedShow Answer

If the world begins to run out of oil, which of the following statements would be incorrect?

Correct AnswerverifiedShow Answer

Just over half (55 percent) of U.S. electricity is generated from

Correct AnswerverifiedShow Answer

In the extraction of a nonrenewable resource such as coal, the mining firm faces "user costs," which refers to the cost of digging out the coal, running the mine, and transporting the coal.

Correct AnswerverifiedShow Answer

Which of the following would cause the present optimal extraction level of a nonrenewable resource to fall?

Correct AnswerverifiedShow Answer

An electricity company is considering damming a small river to generate electricity at a cost of $160,000 and a profit of $200,000 in 5 years. The current market rate is 5 percent. Should the company make the investment?

Correct AnswerverifiedShow Answer

Average per capita water consumption in the United States was approximately how many gallons per day in 2010?

Correct AnswerverifiedShow Answer

According to Paul Ehrlich's 1968 prediction in The Population Bomb, population growth would result in

Correct AnswerverifiedShow Answer

If a country has a total fertility rate of 1.8, then, all else equal, we would expect

Correct AnswerverifiedShow Answer

As of 2016, the world's population is approximately

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified