ECONOMICS 238OC deferred FINAL EXAM
TIME ALLOWED: 2 Hours
Numbers in brackets refer to minutes.
The question paper has ? pages.
1. Each of the following statements is either true, false or uncertain. State
Lesson 1: Introduction to Environmental Economics
Chapter 1: What is Environmental Economics?
The title of this course is Environmental Economics and the first goal of this lesson is to introduce you to the subject matter of the
course and give you some s
Lesson 2: Market Equilibrium and Economic Efficiency
Chapter 3: Benefits and Costs, Supply and Demand
Chapter 3 introduces the fundamental relationships between willingness to pay and demand and that between cost and supply. This
material will be review f
1. People might gain power by convincing others that they have something of value.
2. Power is the act of changing another person's attitudes and behaviour.
3. Power does not exist until the power holder actually appli
1. In order for something to be called an organization it must have buildings and
2. More than 1,000 years ago, Chinese factories were producing 125,000 tons of iron
3. All organizations have a col
Chapter 07 (A) Intercompany Profits in Depreciable
Assets (B) Intercompany Bond
1. Rin owns 90% of Stempy Inc. On January 1, 2012, the investment in Stempy account
had a balance of $350,000 and Stempy's common stock and retained earnings on
1) Why is the distinction between employment and an independent contract important?
a. An independent contractor cannot be sure that he will be paid.
b. An employee has the right to wages.
c. An employee can bind the employer in a contract he enters into
Normative statements = subjective (what ought to be) ex: concept of socially efficient level of emissions
Positive statements = objective and fact based concerning what is ex: measurements of output of
goods/actual emissions from industry (observ
Chapter 3 Benefits and costs, supply and demand
Willingness to pay:
Economics individuals have preferences for g&s; choice of preferences for one good over another
Value of good to a person that is willing and able to sacrifice (give up to get good ex: pu
Chapter 4 economic efficiency and equity
Absence of externalities/other distortions, market equilibrium maximizes total net social benefits
- Satisfies Pareto optimum condition, at any other level of output, moving to market equilibrium
can generate gains