Question

A tax on production that causes air pollution is called Select one:

a. an effluent fee. b. a pollution permit. c. a specific standard. d. an emissions fee.

Economists and environmentalists differ in that Select one:

a. environmentalists often want to eliminate all pollution, but economists may believe that some pollution is acceptable if society values the production of the goods that cause the pollution.

b. environmentalists care about the environment, but economists do not.

c. economists rarely support a cost/benefit approach.

d. all of the above.

"The use of a good by one person does not prevent use by others" describes which of the following? Select one:

a. none of the above. b. indivisible. c. nonrivalrous. d. nonexcludable.

A neighborhood group initiates a ìneighborhood watchî program. Ella doesnít take part in the program, but she enjoys the greater security the program provides. The economic term for Ella is Select one:

a. economic citizen. b. free rider. c. smart consumer. d. busy person.

The rate of return on an investment such as higher education is calculated by Select one:

a. subtracting costs from benefits.

b. adding costs and benefits and dividing by the amount invested.

c. subtracting benefits from costs.

d. dividing the net benefit (benefit minus cost) by the amount invested.

An economic argument against the legalization of drugs is Select one:

a. at least some success in reducing drug usage. b. all of the above. c. the personal health consequences of drug use. d. drug related social problems.

Answer 1

1) d. An emission fee.

Emission fee is also known as environmental tax and which is a surcharge on the pollution created during the production of goods and services.

2) a. Environmentalists often want to eliminate all pollution, but economists may believe that some pollution is acceptable if society values the production of goods that cause the pollution.

3) c. Nonrivalrous.

Nonrivalrous can be defined as when one person uses a particular good and it does not stop or prevent others from using it.

4) b. Free rider.

5) b. Adding costs and benefits and dividing by the amount invested.

To calculate the Rate of Return or ROI, the net benefit or net return of a particular investment is divided by the cost of investment.

6) b. All of the above.

• At least some success in reducing drug usage.
• The personal health consequences of drug usage.
• Drug-related social problems.