1. What is an "economy"?

2. What are the defining characteristics of these two economic systems?

    subsistence economy:

    market economy:

3. How is the environment viewed in classical economics?

4. What is the role of the environment in modern or environmental economics?

    What are "goods" and "services"?

5. The price of a good or service is supposed to reflect what?

6. What are the 4 assumptions in neoclassical economics which contribute to environmental problems?

7. Why has economic growth been considered desirable throughout human history?

8. What are the two competing views regarding economic growth and sustainability?

environmental economists:

ecological economists:

9. What is meant by the term "non-market" values?

10. List the types of non-market value discussed in the text- know examples

11. What does environmental economics hope to do to address the misuse of goods and services that traditionally have no market value?

12. Specifically, give some examples of ecosystem services.

13. What is the estimated annual $ value of ecosystem goods and services, globally?

14. When markets fail to give the correct price or market signal, what happens?

15. What are the goals of environmental policy?

16. Understand the following approaches to environmental policy:

Command and control-

Market based incentives:

    subsidies-

    green taxes-tradeable pollution permits-

    ecolabeling-

    rebates-

17. Know the impact of Rachel Carson and her book Silent Spring.