Which of the Following Would Environmental Economists Consider Natural Capital

question 13

Multiple Choice

Which of the following would environmental economists consider natural capital?

• A)Water purification by a cattail marsh.
• B)A water treatment facility.
• C)Increased agriculture made possible by irrigation.
• D)A severe hurricane like Katrina.

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Definitions:

GDP Deflator

An index reflecting the price levels for all newly produced, domestic, final goods and services within a country.

Per Capita Real GDP

Real GDP divided by population.

Deflation

A drop in the average cost of goods and services, typically connected with a boost in the purchasing power of money.

Real GDP

An economic metric that measures the value of all goods and services produced by a country in a year, adjusted for inflation, reflecting the real growth.