ENVIRONMENTAL ECONOMICS EXAMINATION QUESTIONS AND CORRECT ANSWER WITH EXPLANATION GRADED A+ STUDY GUIDE

ENVIRONMENTAL ECONOMICS EXAMINATION
QUESTIONS AND CORRECT ANSWER WITH
EXPLANATION GRADED A+ STUDY GUIDE SOUTHERN
NEW HAMPSHIRE UNIVERSITY


1. Environmental economics studies:

A. Cooking systems
B. Relationship between economy and environment
C. HR management
D. Marketing only
Answer: B
It focuses on how economic activity affects the environment.



2. Natural resources include:

A. Money only
B. Forests, water, minerals
C. HR resources
D. Cooking resources
Answer: B
Biological and physical assets.



3. Renewable resources are:

A. Exhaustible immediately
B. Replenished naturally
C. HR renewable
D. Cooking renewable
Answer: B
Can regenerate over time.

,4. Non-renewable resources are:

A. Infinite
B. Finite like oil and coal
C. HR resources
D. Cooking resources
Answer: B
Limited supply.



5. Environmental pollution is:

A. Clean air
B. Contamination of environment
C. HR pollution
D. Cooking pollution
Answer: B
Harmful substances in nature.



6. Externality is:

A. Internal cost
B. Cost or benefit affecting third parties
C. HR externality
D. Cooking externality
Answer: B
Spillover effect.



7. Negative externality example:

A. Education
B. Factory pollution
C. HR externality
D. Cooking externality
Answer: B
Harmful spillover.

, 8. Positive externality example:

A. Smoking
B. Vaccination
C. HR benefit
D. Cooking benefit
Answer: B
Benefits others.



9. Market failure occurs when:

A. Perfect allocation
B. Markets fail to allocate resources efficiently
C. HR success
D. Cooking success
Answer: B
Inefficient outcome.



10. Environmental degradation means:

A. Improvement
B. Deterioration of environment
C. HR degradation
D. Cooking degradation
Answer: B
Environmental damage.



11. Sustainable development is:

A. Short-term growth
B. Meeting present needs without harming future generations
C. HR development
D. Cooking development
Answer: B
Long-term balance.