Which of These Statements Is Not True for Oil from Tar

question 26

Multiple Choice

Which of these statements is not true for oil from tar sands?

• A)Tar sands worldwide contain as much oil as in reserves of ordinary crude oil.
• B)Oil from tar sands costs much more per barrel than ordinary crude oil.
• C)Producing oil from tar sands involves the emission of less carbon dioxide than extracting crude oil does.
• D)The amount of oil produced from tar sands is expected to triple by 2015.

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Definitions:

Price of Capital

The cost of using capital resources, typically interest or rental rates paid on capital.

Units of Output

A measurement or quantification of production volume, signifying the number of units of a good or service produced.

Marginal Cost

The expenditure related to manufacturing one more unit of a product or service.

Average Fixed Cost

The total fixed costs of production divided by the quantity of output produced, showing how fixed costs change with output levels.