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In many countries, the policy life cycle will be in

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a different stage for different problems, which is related to the stage of economic development of a country

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In general, careful and detailed economic studies indicate that environmental protection helps the environment

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and does not hurt the economy or cost a net loss of jobs.

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What would comprehensive environmental accounting add to the calculation of GDP?

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the depreciation of natural capital and reductions in ecosystem services

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In 1962, Rachel Carson published the book Silent Spring, documenting the devastating effects of pesticides, including DDT, on birds and other organisms in our natural environments. In the years that followed, new laws and regulations were adopted that banned the use of DDT in 1972 in the United States. Today, DDT is no longer used in the United States because it is banned by law. At this point, the issue has reached the

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control stage because of a command and control strategy.

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The best hope for the future global economy and environmental policy depends upon

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sustainability

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Natural capital includes ecosystem capital plus

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nonrenewable resources such as fossil fuels.

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Environmental policies

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may be cost-neutral or may come at a monetary cost.

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The modern U.S. environmental movement began as a

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broad bipartisan effort but has fractured into a very contentious partisan debate with intense lobbying.

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In general, problems caused by economic activities are

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addressed by laws and public policies.

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Large stocks of fish in the great lakes represent

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renewable natural capital.

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If current energy consumption trends continue and the per capita income of the world increased dramatically, we would expect that

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global climate change will be a greater problem.

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The Doha Round of WTO meetings have failed to reach agreement about

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farm subsidies and trade barriers.

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Rising per capita income is associated with

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cleaner air and safer water.

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The benefit to cost ratio of replacing chlorofluorocarbons in new cars turned out to be

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higher than predicted.

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Environmental public policy is intended to

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improve human welfare and protect the natural world.

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In a free-market society,

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the needs of the poor are often not met by business interests but by government programs.

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As of 2012, it is clear that public opinion

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trusts the EPA much more than Congress to oversee the national environment.

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Which of the following represents intangible capital?

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the library of the Smithsonian Institution

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Costs of pollution control tend to

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decrease over time because of initial investments in reductions and new technologies.

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We would expect that in a community with mounting air and water pollution problems, the

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economy of the region would decline.

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What do the GDP and the World Bank both fail to include in their measures of wealth?

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natural services provided by ecosystems

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From 2001 to 2009, the Bush administration

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developed an energy policy that favored heavy exploitation of fossil fuels.

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Unlike high-income countries, low-income countries rely most on their

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natural capital.

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Which one of the following would likely result from the imposition of green fees?

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Our economy would move toward sustainability.

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Which part of the government is responsible for passing public-policy laws?

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legislative branch

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Because of rising environmental and social costs of economic activity, the

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gap between the GDP and GPI has increased.

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Which of the following is true about U.S. pollution levels?

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the average levels of lead in the blood of children have declined by 80%.

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The ecological economic paradigm places the greatest emphasis on the

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essential functions of the natural environment.

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In the classical view of economic activity in this figure, we expect businesses to prosper when

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labor costs are low and household incomes rise.

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Environmental government policies and regulations are applied at the

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local, state, and federal levels.

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From a global sustainability perspective, economic production

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is the process of converting the natural world to the manufactured world.

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**PICTURE NOT INCLUDED** In this figure, what level of pollution reduction comes at the highest cost?

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from 80-100% pollution reduction

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Which one of the following reduces net GDP?

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degradation of farm equipment

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Economic growth in China has led to extensive air and water pollution because of

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inadequately enforced environmental protection policies.

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The "rule of law index" is a measure of

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justice and the structure of social systems in a society.

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A company near a large city is required to keep its smokestack pollution to new lower levels, costing the company $2 million in additional equipment (which will last at least 10 years) and $100,000 a year in additional labor. Lowering the air pollutants in the region is expected to save $4 million in medical expenses in the affected region over the next 10 years. Over this 10-year period, the benefit to cost ratio is

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4 to 3.

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In the classical view of economic activity, households

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consume goods and services.

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A company near a large city is required to keep its smokestack pollution to new lower levels, costing the company $2 million in additional equipment (which will last at least 10 years) and $100,000 a year in additional labor. Lowering the air pollutants in the region is expected to save $4 million in medical expenses in the affected region over the next 10 years. Without the additional equipment and labor, the unregulated pollution is expected to cause about $4 million in health care costs. This pollution from the smokestacks is an example of

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an external bad cost.

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Shadow pricing is used to estimate the

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value of an endangered species of plant.

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As a percentage of GDP, the cost of environmental protection is, according to EPA estimates

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less than either the cost of defense or health care in the United States.

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Examine the trends in the GDP and GPI. The GPI has remained fairly level because of

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the rising environmental and social costs of economic activity.

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The Obama administration

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now encourages the development of renewable energy and reduction of carbon emissions.

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Which of the following is not included in the calculation of the GNP of a coal mine?

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the depletion of coal from the mine

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In the years 2001-2010, the benefit to cost ratio

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usually had more benefits than costs.

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The recent rise of the Chinese economy is associated with

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a switch to free-market policies.

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The concept of sustainability requires that

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economic growth does not exceed the renewal of natural capital.

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In comparing green to brown economies,

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green economies will embrace technologies that reduce pollutants and increase efficiency.

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Which is an example of produced capital?

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stocks and bonds

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Today, environmental regulations in the United States

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require substantial scientific support and strong political efforts.

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Sustainable economic and environmental policies will shift the focus from

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growth to the well-being of humans.

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Which of the following most accurately indicates the recent changes that have occurred in China? As the Chinese economy has grown,

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industrial pollution and literacy rates have increased while poverty rates and public health have declined.

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In 1962, Rachel Carson published the book Silent Spring, documenting the devastating effects of pesticides, including DDT, on birds and other organisms in our natural environments. In the years that followed, new laws and regulations were adopted that banned the use of DDT in 1972 in the United States. Given the eventual response to ban DDT, the late 1960s most likely represented which stage of the policy life cycle?

answer

formulation

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The World Bank (initially) and measures of GDP did not include the economic value of

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ecosystem services such as the breakdown of wastes, climate regulation, and oxygen production.

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One way to participate in the development of environmental policies is to become a member of an NGO. What is an NGO?

answer

NGO stands for nongovernmental organization.

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According to 2011 World Bank studies, which of the following is an example of the dominant form of wealth for most countries?

answer

the intangible wealth of education and educational systems

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The classical economic paradigm and the new ecological economic paradigm differ in the way that

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each views the land, either as a resource within the human economy (classical) or as something that encompasses the economy (ecological).

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Centrally planned and free-market economies both

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represent ideals not found in pure form in any country.

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In 1962, Rachel Carson published the book Silent Spring, documenting the devastating effects of pesticides, including DDT, on birds and other organisms in our natural environments. In the years that followed, new laws and regulations were adopted that banned the use of DDT in 1972 in the United States. The preparation and publication of the book Silent Spring represented which stage of the policy life cycle?

answer

recognition

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Discount rates calculate the

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current value of a future benefit or cost.

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Equity in the distribution of resources is promoted by growth in

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human resources and produced capital.

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Which of the following best illustrates an intergenerational consideration?

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reducing the harvest of blue fin tuna to sustainable levels

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*** PICTURE NOT INCLUDED*** As indicated in this figure, the most expensive period of pollution control is from years

answer

0-5 while the least expensive is in years 20-25.

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In general, centrally planned economies are run to promote the

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interests of society, while free-market economies depend on the self-interests of individuals.

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How does the EPA affect environmental policy?

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The EPA develops rules and regulations based on laws passed by Congress.

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People who are well aware of the damaging effects of mercury might insist that all fish that they eat is free from mercury. They may be alarmed, for instance, if mercury levels remain at very low levels, far below that known to cause harm. Insisting that mercury be completely eliminated from fish

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is not cost effective for the health benefits of complete elimination.

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The World Trade Organization

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has steadily lost the power to regulate international trade.

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The ecological economic paradigm argues that the environment encompasses the economy because the environment is essential to provide

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vital raw materials and ecosystem services and absorb wastes.

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Environmental public policy

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transfers wealth from polluters to pollution controllers and to less polluting companies.

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Which of the following is least associated with economics?

answer

Studying the sky, a child looks for faces in the clouds. WRONG ANSWERS: - An artist sells her paintings in an art gallery. - A miner pans for gold in the mountains of California. - A waitress carefully wipes down tables before heading home from a long day.

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Which of the following represents a market approach to environmental policy?

answer

using a cap-and-trade system to control the levels of carbon dioxide released into the air

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In response to environmental problems, the Chinese government has

answer

increasingly relied upon local, non-governmental groups to monitor and respond.

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Sustainable development and the protection of public health require

answer

public policies that protect the environment.

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The GDP and the GPI both include calculations of the

answer

income from the sale of natural products.

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Which of the following is part of natural capital but not ecosystem capital?

answer

coal and oil reserves

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Millions of human lives could be saved if we developed environmental policies that

answer

prevent the degradation of the environment and encouraged sustainable use.

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From an ecological economist's perspective, without sustainability, as economies grow,

answer

the natural world is depleted.

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The elimination of leaded gasoline resulted in

answer

a benefit to cost ratio of at least 10 to 1.

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Command and control approaches to environmental public policy

answer

increase the likelihood of continued low levels of pollution, not the elimination of pollution.

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**PICTURE NOT INCLUDED** In this figure, which of the following represents a potentially sustainable process?

answer

the recycling of materials generated by human consumption

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Teaching people to use forests in a sustainable way to produce lawn furniture represents

answer

human capital affecting renewable resources, generating produced capital.

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