A Binding Price Floor

question 527

Multiple Choice

A binding price floor
(i) causes a surplus.
(ii) causes a shortage.
(iii) is set at a price above the equilibrium price.
(iv) is set at a price below the equilibrium price.

• A)(i) only
• B)(iii) only
• C)(i) and (iii) only
• D)(ii) and (iv) only

Analyze the relationship between private property treatment and the extinction threat to species.

Comprehend the economic rationale behind resource extraction timing relative to price fluctuations.

Define and understand the management challenges of common resources, such as fisheries.

Calculate and understand the concept of present value in the context of resource valuation over time.

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Definitions:

Protective Factors

Events or circumstances that help to offset, or buffer, risk factors. Anything that lessens the likelihood of disease. For example, exercise is thought to be a protective factor for cardiovascular disease.

Risk Factors

Events or circumstances that increase the likelihood of later pathology.

Psychopathology

Both the scientific study of psychological abnormality and the problems faced by people who suffer from such disorders.

Resilience

The capacity of people to “bounce back” and cope with stress and catastrophe.