ECO 301 - Exam 2 questions well
answered graded A+ updated
Which one of the following is the least-likely to be subject to exploitation as a common property
resource? - correct answer ✔✔A parking lot
What is the typical shape of a total product curve - correct answer ✔✔An inverted U-shape
The open access equilibrium for a common property resource occurs at the point where... -
correct answer ✔✔Average revenue equals marginal cost
The economic optimum production level for a common property resource occurs where... -
correct answer ✔✔Marginal revenue equals marginal cost
The open access equilibrium is usually... - correct answer ✔✔Neither economically efficient nor
ecologically sustainable
Which one of the following variables is most likely to increase as production effort is increased?
- correct answer ✔✔Total costs
Which one of the following variables is most likely to decline as production effort increases? -
correct answer ✔✔Marginal revenue
The efficient price of a license fee (per effort or per boat) is easily determined by the difference
between... - correct answer ✔✔Average revenue and marginal cost
, Which one of the following statements is false? - correct answer ✔✔The economically optimal
level of production occurs at the maximum sustainable yield
Which one of the following is least likely to be considered a public good? - correct answer ✔✔A
golf course
A characteristic of public goods is that use of the good by one person does not reduce its
availability to others. The term for this characteristic is... - correct answer ✔✔Non-rival
The two characteristics of a public good are: - correct answer ✔✔Non-rival and non-exclusive
Suppose that 10,000 people are willing to spend a maximum of $20 each to preserve one acre
of rainforest. A conservation group mails out a request to each person asking him or her to mail
in $40 to preserve one acre of rainforest. How many acres of rainforest will be preserved with
this program? - correct answer ✔✔Zero acres
Which one of the following goods can be considered a global commons? - correct answer
✔✔An ocean
Which of the following are considered public goods? - correct answer ✔✔Clean air, clean water,
and biological diversity
Suppose a demand schedule is P = 200 - Q and a supply schedule is P = 20 + 2Q. What is the
marginal net benefit curve? - correct answer ✔✔MNB = 180 - 3Q
Suppose a demand curve is Q = 200 - P and a supply curve is Q = 0.25P - 25. What is the
marginal net benefit curve? - correct answer ✔✔MNB = 100 - 5Q
Total net benefits are maximized when marginal net benefits are... - correct answer ✔✔Zero
answered graded A+ updated
Which one of the following is the least-likely to be subject to exploitation as a common property
resource? - correct answer ✔✔A parking lot
What is the typical shape of a total product curve - correct answer ✔✔An inverted U-shape
The open access equilibrium for a common property resource occurs at the point where... -
correct answer ✔✔Average revenue equals marginal cost
The economic optimum production level for a common property resource occurs where... -
correct answer ✔✔Marginal revenue equals marginal cost
The open access equilibrium is usually... - correct answer ✔✔Neither economically efficient nor
ecologically sustainable
Which one of the following variables is most likely to increase as production effort is increased?
- correct answer ✔✔Total costs
Which one of the following variables is most likely to decline as production effort increases? -
correct answer ✔✔Marginal revenue
The efficient price of a license fee (per effort or per boat) is easily determined by the difference
between... - correct answer ✔✔Average revenue and marginal cost
, Which one of the following statements is false? - correct answer ✔✔The economically optimal
level of production occurs at the maximum sustainable yield
Which one of the following is least likely to be considered a public good? - correct answer ✔✔A
golf course
A characteristic of public goods is that use of the good by one person does not reduce its
availability to others. The term for this characteristic is... - correct answer ✔✔Non-rival
The two characteristics of a public good are: - correct answer ✔✔Non-rival and non-exclusive
Suppose that 10,000 people are willing to spend a maximum of $20 each to preserve one acre
of rainforest. A conservation group mails out a request to each person asking him or her to mail
in $40 to preserve one acre of rainforest. How many acres of rainforest will be preserved with
this program? - correct answer ✔✔Zero acres
Which one of the following goods can be considered a global commons? - correct answer
✔✔An ocean
Which of the following are considered public goods? - correct answer ✔✔Clean air, clean water,
and biological diversity
Suppose a demand schedule is P = 200 - Q and a supply schedule is P = 20 + 2Q. What is the
marginal net benefit curve? - correct answer ✔✔MNB = 180 - 3Q
Suppose a demand curve is Q = 200 - P and a supply curve is Q = 0.25P - 25. What is the
marginal net benefit curve? - correct answer ✔✔MNB = 100 - 5Q
Total net benefits are maximized when marginal net benefits are... - correct answer ✔✔Zero
