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TEST BANK FOR PRINCIPLES OF NEUROBIOLOGY 2 ND EDITION BY LIQUN LUO
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TEST BANK FOR PRINCIPLES OFNEUROBIOLOGY 2 ND EDITION BY LIQUN LUO
The supply and demand conditions facing a firm that makes widgets and generates a
negative externality by dumping a highly toxic sludge in a nearby river is given in the
table below.
The equilibrium price and quantity when social costs are taken into account are
A. Price = $55, Quantity = 30
B. Price = $40, Quantity = 55
C. Price = $30, Quantity = 20
D. Price = $30, Quantity = 80 - ANSWER A
The term ____________ refers to a market exchange that affects a third party who is
outside or external to the exchange.
A. social costs
B. spillover
C. market failure
D. private costs - ANSWER B
Using the term "spillover" is a less formal means of describing
A. an externality.
B. social costs.
C. private costs.
D. market failure. - ANSWER A
____________________ describes a situation where a third party, outside the
transaction, suffers from a market transaction by others.
A. Negative externality
B. Positive externality
C. A spillover
D. A market failure - ANSWER A
A positive externality arises in a situation where a third party, outside the transaction,
A. fails to allocate resources efficiently.
B. suffers from a market transaction by others.
C. benefits from a market transaction by others.
D. pays a pollution tax to balance social costs. - ANSWER C
,_______________ include both the private costs incurred by firms and also costs
incurred by third parties outside the production process.
A. Social costs
B. Private costs
C. Market costs
D. External costs - ANSWER A
Market failure describes a situation in which the market itself
______________________ in a way that balances social costs and benefits.
A. remains outside the transaction
B. incurs the costs outside the production process
C. fails to allocate resources efficiently
D. avoids externalities - ANSWER C
Command-and-control regulation is a body of law that
A. fails to consider private costs of firms.
B. specifies allowable quantities of pollution.
C. details which pollution-control technologies must be used.
D. can include both b and c. - ANSWER D
A pollution charge is a form of tax imposed on
A. the quantity of pollution that a firm emits.
B. pollution control technologies.
C. every economy in the world.
D. low-income market-orientated industries. - ANSWER A
Property rights are the legal rights of ownership on which others are
A. allowed to infringe by paying the property owner's pollution tax.
B. able to enforce use of pollution-control technologies.
C. able to specify allowable quantities of pollution.
D. not allowed to infringe without paying compensation. - ANSWER D
Which of the following is used to describe the full spectrum of animal and plant
genetic material?
A. ecodiversity
B. biodiversity
C. envirodiversity
D. duodiversity - ANSWER B
Which of the following have historically been more willing to sacrifice their
environmental quality for some additional economic output?
A. high-income, market-oriented economies
B. low incomes and command economies
, C. the United States
D. European Union - ANSWER B
Which of the following is an example of economic output that can injure the
environment?
A. gold mine discharging arsenic into a natural lake it's using for a tailings pond
B. paper mill discharging raw chemical waste into a river
C. excessive clear cutting of wood resources by logging companies
D. radio-active waste leaking into a river, and all of the above - ANSWER D
Which of the following has become the least willing to sacrifice their environmental
quality for some additional economic output?
A. the European Union
B. China
C. Ohio
D. command economies - ANSWER A
The problem of pollution typically arises in ______________ economies around the
world.
A. high-income
B. low-income
C. high or low-income
D. middle income - ANSWER C
Since 1969, when the Cuyahoga River in Ohio was so polluted that it spontaneously
burst into flame, the overall quality of water in the U.S. has
A. steadily declined.
B. remained unchanged.
C. steadily improved.
D. remained a non-issue. - ANSWER C
The problem of pollution arises in primarily ______________ economies around the
world.
A. command-oriented
B. market-oriented
C. middle income
D. both a and b - ANSWER D
In addition to the current levels of air and water pollution, a list of important
environmental issues would most likely include:
A. emissions of greenhouse gases
B. safe disposal of hazardous waste materials
C. destruction of wetlands and other habitats
D. extinction of species and all of the above - ANSWER D
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