[ECN 511] - Midterm Exam Guide - Comprehensive Notes for the exam (19 pages long!)

• School: Ryerson University
• Department: Economics
• Course: ECN 511
• Professor: Amanda Ackerman

Document Summary

Rms incur in producing goods and services: these are the costs that appear on a pro t-and-loss statement of the rm. In environmental economics, the focus is on the amount and nature of residuals released by a good or service. Changing the mix of output can then change the total quantity of residuals produced: increase recycling, the ultimate goal is to reduce the damages caused by the discharge of production and consumption residuals. Ambient quality is affected by factors such as geography, weather, and environmental absorptive capacity: uniformly mixed: emissions of a pollutant have the identical impact on ambient environmental quality independent of where they are released. Chapter 3: benefits and costs, supply and demand. Bene ts: the bene ts that people get from something are equal to the amount they are willing to pay for it, ability to pay: how much an individual can pay for something is determined by one"s income level.