L11 Resource Depletion

Poll

How many whole pistachios would still be left among the pistachio shells by the time you stop looking for more?

• 100% (I wouldn't take any)

• Somewhere between 99% and 50%

• Somewhere between 50% and 1%

• 0% (I would totally comb through the shells endlessly until I got them all)

Multiple Choice

True or False? "All else equal, increases in oil prices tend to increase the quantity of proven oil reserves."

• True

• False

Multiple Choice

The key distinction that separates endangered resources from sustainable resources is the nature of

• transactions costs

• externalities

• property rights

• overall consumption

Multiple Choice

Privatizing a commons gives the person who owns it an incentive to

• restrict it from being used at all.

• make it available to everyone without restriction.

• exploit the resource until it is depleted.

• manage it carefully.