Deck 10: The Environment and Development

Question 1

Discuss the relationship between poverty,growth and the environment.

Answer 1

Discussed in the chapter.

Question 2

Why might it be in the direct economic interest of the United States to finance rain forest conservation programs in the Amazon?

Answer 2

Answers may include global warming effects,which may lower the productivity of the American Midwest,and loss of biodiversity for future medicines.

Question 3

The "cost of rainforest preservation" can be lowered for developing countries by
(a)the development of alternative rainforest products.
(b)research on agriculture in rainforest soils.
(c)encouraging rainforest settlement of the poor.
(d)subsidies for activities like cattle raising.

Answer 3

A

Question 4

Sustainable development means
(a)emphasizing the role of the market.
(b)emphasizing the role of government.
(c)meeting the present generation's needs without compromising the needs of future generations.
(d)maintaining output growth at a constant rate.

Question 5

Which of the following conditions is violated if there is a free rider problem?
(a)universality
(b)exclusivity
(c)transferability
(d)enforceability

Question 6

What is the relationship between debt,falling commodity prices and rainforest degradation?

Question 7

Describe the basic issues involved in setting up a system of national accounts that includes the value of environmental capital and its loss.

Question 8

Compare and contrast the path of economic development for Haiti and the Dominican Republic? How did differences in in earlier institutions and the policies pursued by the two nations play a rolein determining the development related outcomes?

Question 9

How will global warming and climate change adversely impact the "poor," particularly in developing nations?

Question 10

What are some of the strategies that have been proposed to mitigate global warming at a macro level?

Question 11

A major cause of environmental degradation in developing countries is
(a)debt for nature swaps.
(b)poverty.
(c)a lack of public transportation.
(d)land reform.

Question 12

Describe the effect of the loss of biodiversity on productivity and health.

Question 13

Explain what developed countries can do to respond constructively to the environmental damage being done in developing countries.

Question 14

Provide a short definition of sustainable development.

Question 15

Which of the following environmental problems are largely caused by persistent poverty?
(a)Deforestation.
(b)Soil erosion.
(c)Ground water contamination.
(d)All of the above.

Question 16

Describe the costs of deforestation.

Question 17

A major cause of environmental degradation in developing countries is
(a)population growth.
(b)rural poverty.
(c)rapid urbanization.
(d)all of the above.

Question 18

In what way is better protection of the environment a possible result of successful development?

Question 19

Describe the costs of water pollution.

Question 20

Recurrent flooding in Bangladesh is causing the land area of the country to shrink.In what ways might environmental mismanagement play a role in explaining this phenomenon?

Question 21

The free rider problem is a situation in which
(a)effluents such as CFCs combine with ozone and decrease concentrations of that protective chemical.
(b)one agent secures benefits that others pay for.
(c)there are excessive subsidies given to polluting buses or other forms of mass transit.
(d)perfect property rights exist.

Question 22

In what way do developing countries make the largest contribution to the global concentrations of greenhouse gases?
(a)vehicle emissions.
(b)deforestation.
(c)mining.
(d)irrigation.

Question 23

An example of a biomass fuel is
(a)coal.
(b)nuclear fuel.
(c)manure.
(d)oil.

Question 24

International resources shared by all countries such as oceans and air are known as
(a)global commons.
(b)free rider problems.
(c)nonrenewable resources.
(d)cooperative resources.

Question 25

The portion of a country's overall assets that is directly related to the environment,such as forests and soil quality,is known as
(a)environmental capital.
(b)debt for nature swaps.
(c)protected areas.
(d)common property assets.

Question 26

Which of the following conditions does not characterize perfect property rights markets?
(a)universality
(b)exclusivity
(c)sustainability.
(d)enforceability.

Question 27

Debt-for-nature swaps are most generally
(a)beneficial only to the developing country.
(b)beneficial only to the developed country.
(c)beneficial only to the bank which can write off the debt.
(d)beneficial to all countries.

Question 28

The annual income that can be consumed without diminishing the total capital assets of a nation is
(a)purchasing power parity income.
(b)sustainable national income.
(c)environmental capital stock.
(d)per capita income.

Question 29

A resource that is publicly owned and allocated under a system of unrestricted access is known as
(a)a socialist resource.
(b)a collective resource.
(c)a common property resource.
(d)a transferable resource.