Environmental Policy Final Exam
What is the disadvantage related to technology-based environmental standards?
they are not based on risk or impacts to the environment.
Using krafts process for evaluation policy tools what are advantges of using environmental standards?
Clear objective (fairness- enforceability)
Standard used to control the problem of sprawl
land use zoning
policies that are market or incentive based
(all of the above)
transferable permits
taxes
subsidies
graphically a tax or charge…
shifts the supply curve to make private cost of an action eual to it’s social cost.

shifts the supplu curve to make private cost of an action equal to its private benefit.

What are some arguments for ethanol subsidy
benefits to farmers, emerging market, efficent energy source
What are some arguments against the ethanol subsidy?
diverts resources used for food, deforestation, loss of “carbon sinks”
subsidy farming maintains prices
lower for consumers
taxes for “best use” of land chosen to be used for farming can be overwhelming What policy mechanism can relive some of this pressure
subsisies
Imagine you are asked to support a new piece of enviromental legislation. what are the three questions you should ask about the policy before forming an oppinion?
what alternatives are therre? what are the costs associated with the policy? what evidence is there to support the policy?
what kind of economic market are farms considered to be in
purely competitive market
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