1. What does it mean that a factor is tangible? Intangible? What makes a factor tangible is that is able to by measure.

Intangible is something that can't be measured 2. What is tragedy of the commons? When a resource is shared, an individual's personal share of profit from exploitation of the resource is greater than share of individual's resulting loss. 3. What is a commons? Any resource owned publicly with public access for private uses 4. Explain how cow herding is an example of tragedy of the commons. Each person tries to maximize personal gain from herding cows, but must consider whether to add more cattle to the herd on the commons. Adding one cow has a positive and negative effect. The positive is that it benefits when the herder sells the cow and the negative is that there is additional grazing by the cow. 5. What are some examples of the commons? US forests, ocean fisheries, deep-ocean seabeds, Antarctica and the atmosphere. 6. How does low growth rate of a resource contribute to its overexploitation? It contributes to resource sustainability and maximum profit. 7. What is an externality? Give an example. An externality is a cost that doesn't show up on the price tag. An example is air and water pollution to transport the product. 8: What are public services of nature (ecosystem services)? How much are they worth? Ecosystem services are ecosystems that benefit humanity in some way. They are worth $3 trillion to $33 trillion per year 9. Why is it hard to value nature? It is hard to value nature because everyone has their own personal preference on nature. Some include coherence, complexity, mystery, unity, vividness and variety. 10. How do we evaluate the acceptability of risk? We evaluate the acceptability of risk in terms of the number of people affected, novel risks that appear to be less acceptable than natural risks and peoples willingness to pay for reducing a risk.

11. What is the U.S. Toxic Substances Control Act? An act that establishes procedures to estimate the hazard to the environment to human health. It states that no one may manufacture a new chemical substance w/o obtaining a clearance from the EPA. 12. How do we achieve environmental policy? We achieve environmental policy by persuasion, direct control (regulations), market processes and government investments like research and education. 13. What are the 3 common methods of control of pollution? 1) Setting maximum levels of pollution emission 2) Requiring specific procedures and processes that reduce pollution 3) Charging fees for pollution emission.