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Homework_1_fall_2008 - AEM 250 Environmental and Resource...

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AEM 250: Environmental and Resource Economics Homework 1 Distributed: Sept. 10, 2008, due in AEM 250 Red Box outside of Warren 104 by 9:30 A.M. on Sept. 19, 2008 (No late assignments will be accepted unless prior permission from Prof. Poe has been obtained. If you are having problems with some of the answers, you are advised to peruse the relevant gobbets on the course web site) 10 Points (2 points per question). All graphs should be clearly labeled and all other work legible. If we are unable to interpret your work, you will receive a lower score. 1. Do economic growth and sound environmental policy necessarily conflict? Identify an area where a choice must be made between economic growth and environmental preservation and another where the two are compatible. (Be complete, but be sure to limit your response for each example to no more than one paragraph) 2. The following demand schedule shows the number of annual visits to Mono Lake, California for each day at a variety of prices (or costs).
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