Economics of Resource Conservation and Sustainability

First Midterm (Take Home) Exam

Professor Womersley

Due Friday February 19th in class.

 

Instructions

Answer all questions. If you don’t know an answer, put down what you do know. You may research answers. Cite important research other than material given in class or in the texts for the class. You must work alone.

 

 

Part One: Comprehension

(Short answers)

Define and explain these terms/identities from class readings, discussion, or lecture from within the ecological economics perspective.

Answer all 10

 

1) Entropy

 

 

 

 

 

2) The circular flow model

 

 

 

 

 

 

3) An alternate view to the circular flow model from ecological economics

 

 

 

 

 

 

4) P = f(K, L, R)

 

 

 

 

 

5) Excludability

 

 

 

6) The stimulus package. (How would an ecological economist view it?)

 

 

 

 

 

 

7) Economic growth

 

 

 

 

 

 

8) Renewable energy

 

 

 

 

 

 

9) John Maynard Keynes

 

 

 

 

 

 

10) Stock-flow and fund-service

 

 

 

 

 

Part 3: Essay:

 

Write a short essay addressing only one out of the following four questions or problems. (40%)

 

  1. Explain Keynesian deficit spending, including both supply-side and demand-side measures, and then provide the ecological economics criticism of both views

 

  1. How might an ecological economist “scribbler” (see Keynes) create or at least inadvertently foment a global crisis? Taking a historical example of a former scribbler or his captive-minded dictator and crisis or crises, what specific advice would you suggest to the ecological economist in order to avoid such things?

 

  1. How is a European common grazing system characterized in terms of excludability and rivalness? Find an example through research and discuss.

 

  1. Are Maine game animals rival, non-rival or something in between? Give clear examples from Maine law and hunting customs.