Explain what is needed for optimal harvesting of a forest. How do changes in economic incentives and structures affect present and future decisions?
What will be an ideal response?
Optimal harvesting of trees in a forest involves understanding the growth rate of tress in those cases in which property rights are clear and enforceable. For example, trees may grow at a slow rate during the first 50 years, then grow at a fast rate from 50 to 100 years, and grow at a slow or zero rate thereafter. A lumber company will have a strong profit incentive to harvest young trees sometime during the fast growth period because it will produce the most wood in the least amount of time. Of course market demand conditions and the cost of harvesting will affect the precise year for optimal harvesting that produces the greatest net benefits for the company.
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Which of the following is not a "pull" factor in urban migration?
a. higher urban incomes b. better urban job opportunities c. more modern way of life d. rural land consolidation e. all are pull factors f. none is a pull factor
Refer to the table below. What is the probability of selling exactly 23 cakes?
The above table shows the probability distribution of cake sales at Busy Betty's Bakery.
A) 0.20
B) 0.10
C) 0.30
D) 0.00
Incomes for adults vary widely across race and gender in the United States. These differences could be due to:
A. discrimination. B. education. C. choice of occupation. D. All of these can explain the differences.
Which of the following had prompted the Chinese authorities to stand ready to buy or sell dollars steadily and in large volume?
a. Huge current account deficit b. Currency pegged to the dollar c. Floating rate policy d. Adherence to the old gold standard