If China Decides to Enact Laws to Clean Up the Environment

question 77

Multiple Choice

If China decides to enact laws to clean up the environment, what would be the effect on its GDP?

• A)GDP would increase, reflecting the fact that the environment would be cleaner.
• B)GDP would decrease if the pollution controls reduce productivity by more than the cost of the controls.
• C)GDP would increase as the citizens of China become happier as the environment is cleaned up.
• D)GDP would increase since the environmental costs of pollution were not included in the calculation of GDP.
• E)GDP would decrease as Chinese people took more leisure time.

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Definitions:

Implicit Memories

Memories that influence our behaviors and knowledge without conscious awareness, typically acquired through repetition and practice.

Selective Attention

The ability to direct mental resources to relevant information in order to process that information further, while also ignoring irrelevant information.

Information Processing

A psychological theory that describes the process through which humans encode, store, and retrieve information.

Explicit Memory

The type of memory that involves conscious recollection of previous experiences and information.