Tuesday, Aug 27
Economics of Natural Resources, Energy, and the Environment ECP 3302
Introduction to the course:
What is environmental & natural resource economics? Why study it?
Economics studies the allocation of scarce resources (like land, labor, capi
SWOT adalah singkatan dari Strengths (Kekuatan), Weakness (Kelemahan),
Opportunities (Peluang), dan Threats (Ancaman).Menurut Haim Hilmain Abdullah
2006, analisis SWOT terdiri daripada empat kuadran iaitu kekuatan, kelemahan,
Econ 420-0 Appendix A
Tuesday, January 12, 2016
Econ 420 Page 1
Econ 420 Page 2
Econ 420 Page 3
Econ 420 Page 4
the corresponding Taylor series for log(x) at some a
= x0 is:
Econ 420 Page 5
Midterm Spring 2016
The worst recession since World War II started in which year?
Each of the following was an effect of cheap or free land during the 19th century exc
Cyrus McCormick and Eli Whitney were important in the technology of
The Great Depression began in
a. the second half of 1929.
b. the middle o
Assuming that a society always operates on its production possibilities curve, an
outward shift of the curve implies
a. economic growth has occurred.
b. the society is making more efficient use of its available resources.
c. consumer deman
Statement I. The purchase of 100 shares of Apple Corporation stock adds directly to
plant and equipment. Statement II. The purchase of 100 shares of Apple Corporation
stock is not an investment, but merely a financial transaction.
According to the permanent income hypothesis, households will tend to react to a
temporary tax cut by
a. assuming the new tax level will be permanent.
b. saving most of the additional disposable income.
c. increasing consumption sharply in
Which of the following is a transfer payment?
a. The president's salary
b. Veterans' benefits
c. The NASA budget
d. Schoolteachers' salaries
e. Provision of national parks
The money that pays Social Securi
Rent control is a form of price _ and is responsible for housing _.
a. floor, shortages
b. floor, surpluses
c. ceiling, shortages
d. ceiling, surpluses
If the price system is allowed to function without in
When our resources are NOT allocated efficiently, we have _.
a. answered the basic economic questions
b. a market failure
c. a government failure
d. market equity
Externalities consist of _.
a. only extern
Review Questions: Week 6
1) The Federal Reserve System is structured in such a way as to insulate monetary policy
from the political pressures characteristic of the rest of our political system of
representative democracy. Do you agree or disagree with th
REVIEW QUESTIONS FOR MACROECONOMICS
1) Explain why the Aggregate Supply curve becomes increasingly steeply sloped at
levels of RGDP near "full employment" and becomes especially steeply sloped
beyond "full employment" RGDP.
As many of you noted in your an
REVIEW QUESTIONS FOR MACROECONOMICS
1) Suppose that the value of the CPI in January of 1999 was 165 and its value on January 2000 was 172.
What was the rate of inflation in 1999?
rate of inflation = P/P=(CPI1 - CPI0)/CPI0 = 172 -165/165= 7/165 = 4.2%
Week 1: Review Question Answers
1) Draw a supply/demand diagram of the market for "loanable funds" in the U.S. Show the effects
of a rise in the expected inflation rate on your diagram.
quantity of loanable funds
Kegunaan Data Pendapatan Negara
Semakin tinggi kadar inasi,
semakin rendah kadar
Pada kadar inasi adalah 4%,
kadar pengangguran adalah
2%. Sebaliknya pada
kadar inasi adalah 1.5%,
kadar pengangguran berada
pada 4% .
Trade centers on the exchange of goods and services. Exchange may take place between two or
more parties. In its earlier days, trade was carried out through the barter system. The invention of
Thurs., August 29
What is environmental economics?
Economics - study of the allocation of scarce resources among alternative uses.
Resources in economics factors of production, traditionally land, labor, capital;
Used to produce goods and services that pr
Tues., Sept. 3 Markets
1. Summary of market and nonmarket goods:
Natural monopoly goods
Common property (open access)
2. Articles - What is environmental economics all about?
Thursday, Sept. 5
1. What determines demand, and changes in demand?
Size of market (+)
Price of related goods (substitutes (+), complements (-)
Expected future prices (+)
Preferences & tastes (+)
2. What determines Supply, and chang
uesday, Sept 10
hat do the various parts of the supply/demand diagram represent?
a. Price x Quantity = TR = Total Revenue, or total expenditure
b. TR -Total cost = = profit
c. Area under demand curve reflects total benefits to demanders.
d. Area un
Thurs., Sept 12
1. Market Failure:
But.what if some of these conditions do not hold?
May result in market failure
When market operation does not result in Pareto efficient outcome:
- in which a market fails to allocate resources efficiently:
Tuesday, Sept. 17
Question: does optimality condition (marginal benefit = marginal cost) imply doing less
than your best? Is it a rationale for not doing something well?
1. The optimal level of pollution . Is it zero?
What is the optimal level of pollutio
Thursday, Sept. 19
1. Pigouvian taxes & subsidies
Named after Arthur Cecil Pigou
Taxation on polluting activity, or subsidy for beneficial activity;
taxes can reduce or eliminate the externality by fully 'internalizing' the costs of
Tax set at
Tuesday, Sept 24
a. 'The Economist's Approach to Pollution and its control," Robert Solow, Science
August 6, 1971
b. 'Environmental Economics,' Robert Stavins, NBER Working Paper # 13574, November 2007.
2. From Last week
Thursday, Sept. 26
1. Review problem set 2
arketable permits (tradable permits, cap-and-trade system)
Given overall level of pollution (a 'cap' o emissions):
Emitters (ie, power plants) may 'trade' rights (for example, 1 credit = 1 ton of SO2) to
Thurs., Oct. 3
How do we estimate the value and cost of environmental amenities?
Environ m entalproble msareoftenanunintendedbyproductofbeneficialactivities
Travel: damage to air
1. How to place a value on environmental quality?
Valuation and the role of property rights
How much environmental improvement (or quality) do we want?
What would we give up to obtain it?
Return to consumer surplus.
willingness to pay (WTP)
Review Question Answers for Week 2:
1) Agree or disagree with each of the following statements and explain your answer.
a) The economy cannot be considered fully employed until measured unemployment is less
than 1% of the labor force.
b) It is possible fo