Briefly explain why having a completely clean environment has costs and may not be the best option to pursue.
What will be an ideal response?
In many respects, a clean environment is no different from any other desirable good. In a world of scarcity, we can increase our consumption of a clean environment only by giving up something else. The problem that we face is choosing the combination of goods that does the most to enhance human well-being. Few people would enjoy a perfectly clean environment if they were cold, hungry, and generally destitute. On the other hand, an individual choking to death in smog is hardly to be envied, no matter how great his or her material wealth. Only by considering the additional cost as well as the additional benefit of increased consumption of all goods, including clean air and water, can decisions on the desirable combination of goods to consume be made properly.
You might also like to view...
A single-price monopoly has marginal revenue and marginal cost equal to $19 at 15 units of output where the price on the demand curve is $38. What is the firm's total revenue?
A) $38 B) $285 C) $570 D) $19 E) There is not enough information given to answer the question.
Risk taking
A. is economically wasteful. B. is a cause of income inequality. C. is not a cause of income inequality. D. evens out income inequality because of the bell curve.
The reserve ratio is 20 percent. The Fed buys? $1 million in government securities from a bond dealer by transmitting the funds to the? dealer's deposit account at Bank A. Bank A makes the maximum loan possible to a construction? company, which buys materials with the loan. The check is deposited in Bank? B, which loans out all it can to a car dealership. To this? point, the money supply has increased by
A) $1 million B) $1.8 million C) $2.44 million D) $3 million.
What is the approximate Gini coefficient associated with the following income distribution?HouseholdPercentileShare ofIncomeCumulative Shareof Income 20th 0.05 0.05 40th 0.10 0.15 60th 0.20 0.35 80th 0.25 0.60 100th 0.40 1.00
A. 0.13 B. 0.34 C. 0.23 D. 0.08 E. 0.48