ECON 2100 UGA, Exam
1, Kuchibhotla(80
questions and
answers)
Economic Analysis
Uses models to explain strategic decision making and underlying economic
conditions
Models
Allow fro testing theories and make predictions to changes in market
conditions by eliminating unnecessary detail
Environmental Economics Tradeoff
- cannot have no level of pollution without effecting the market and visa
versa
Circular Flow Model
- *monetary flow only
- shows the real and monetary flows of economic activity through the output
and factor markets
- forms basis fro modeling the relationship between the environment and the
economics
- does NOT show the linkage between the environment and economics
Circular Flow Model: Inner Flow
OUTPUT MARKET --revenues-->FIRMS--costs-->FACTOR MARKET--income--
>HOUSEHOLDS--expenditures-->OUTPUT MARKET
Circular Flow Model: Outer Flow
OUTPUT MARKET--demand for goods and services-->HOUSEHOLDS--supply of
resources-->FACTOR MARKET--demand for resources-->FIRMS--supply of
goods and services-->OUTPUT MARKET
, Materials Balance Model
places the circular flow within a larger schematic to show links between
economic activity and the natural environment via sets of flows
Natural Resources Economics Focus
flow of resources from the environment to the economy
Environmental Economics Focus
flow of residuals from the economy to the environment
Residuals
Pollution remaining in the environment after some process has occurred
What is true of recovery, recycling, and reusing?
residuals can be delayed, but not prevented through these
The flow of resources and residuals are balanced according to what?
- First Law of Thermodynamics
- Second Law of Thermodynamics
First Law of Thermodynamics
Matter and energy can neither be created nor destroyed
Second Law of Thermodynamics
- Nature's capacity to convert matter and energy is not without bound
- "matter/energy becomes more unusable the more cycles of recycling"
Natural Pollutants
arise from non-artificial processes in nature
- ex: ocean spray and pollen
Anthropogenic Pollutants
human induced and include all residuals associated with consumption and
production
- ex: chemical wastes, gases, etc.
Sources of Pollution: Mobility
- stationary sources
- mobile source
Mobility: Stationary Source
1, Kuchibhotla(80
questions and
answers)
Economic Analysis
Uses models to explain strategic decision making and underlying economic
conditions
Models
Allow fro testing theories and make predictions to changes in market
conditions by eliminating unnecessary detail
Environmental Economics Tradeoff
- cannot have no level of pollution without effecting the market and visa
versa
Circular Flow Model
- *monetary flow only
- shows the real and monetary flows of economic activity through the output
and factor markets
- forms basis fro modeling the relationship between the environment and the
economics
- does NOT show the linkage between the environment and economics
Circular Flow Model: Inner Flow
OUTPUT MARKET --revenues-->FIRMS--costs-->FACTOR MARKET--income--
>HOUSEHOLDS--expenditures-->OUTPUT MARKET
Circular Flow Model: Outer Flow
OUTPUT MARKET--demand for goods and services-->HOUSEHOLDS--supply of
resources-->FACTOR MARKET--demand for resources-->FIRMS--supply of
goods and services-->OUTPUT MARKET
, Materials Balance Model
places the circular flow within a larger schematic to show links between
economic activity and the natural environment via sets of flows
Natural Resources Economics Focus
flow of resources from the environment to the economy
Environmental Economics Focus
flow of residuals from the economy to the environment
Residuals
Pollution remaining in the environment after some process has occurred
What is true of recovery, recycling, and reusing?
residuals can be delayed, but not prevented through these
The flow of resources and residuals are balanced according to what?
- First Law of Thermodynamics
- Second Law of Thermodynamics
First Law of Thermodynamics
Matter and energy can neither be created nor destroyed
Second Law of Thermodynamics
- Nature's capacity to convert matter and energy is not without bound
- "matter/energy becomes more unusable the more cycles of recycling"
Natural Pollutants
arise from non-artificial processes in nature
- ex: ocean spray and pollen
Anthropogenic Pollutants
human induced and include all residuals associated with consumption and
production
- ex: chemical wastes, gases, etc.
Sources of Pollution: Mobility
- stationary sources
- mobile source
Mobility: Stationary Source
