The Figure Given Below Represents an Imperfectly Competitive Resource Market

question 21

Multiple Choice

The figure given below represents an imperfectly competitive resource market. Here common land (and not land used for specific purpose) is under consideration.Figure 18.1

-What is the most likely consequence when people's preference for current consumption rises in relation to future consumption?

• A)Interest rates will fall, and the rate of extraction of exhaustible natural resources will decrease.
• B)Interest rates will fall, and the rate of extraction of exhaustible natural resources will increase.
• C)Interest rates will rise, and the rate of extraction of exhaustible natural resources will decrease.
• D)Interest rates will rise, and the rate of extraction of exhaustible natural resources will increase.
• E)Interest rates will fall, and there will be no effect on the rate of extraction of exhaustible natural resources.

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Definitions:

Serotonin Levels

Concentrations of the neurotransmitter serotonin in the body, which can affect mood, emotion, sleep, and appetite.

Impulsivity

A predisposition towards spontaneous action, exhibiting patterns of behavior without deliberate planning or concern for the aftermath.

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A professional in psychology who studies how evolutionary principles help explain the structure of human psychological processes and behavior.

Epigenetics

The study of how behaviors and environment can cause changes that affect the way genes work without altering the DNA sequence.