Chapter 2 Test Study guide
1. Review all vocabulary from Chapter 2 (see end of study guide for
a list of terms).
2. Is a healthy environment necessary for economies? Why or why
not? Yes, economies depend on materials from the environment.
3. What do all economies depend on?
The environment – natural resources
4. Because Earth’s resources are limited, is nonstop economic
growth possible? What should the goal be?
No, because they could run out. The goal should be sustainability.
5. What we appreciate for beauty or defines a culture would be said
to have?
Non-market value
6. What is eco-labeling? Site some examples.
Labeling products as to identify brands that are made with
processes that do not harm the environment. Ex: USDA organic,
Energy-Star, Fair Trade Certified
7. List the branches of government involved in making environmental
policy, which is involved, and what each is responsible for.
Legislative-Congress-debate & pass laws
Executive-President & agencies-enforce laws
Judicial-Supreme Court & lower courts-interpret laws
8. There are _3__ periods of US Environmental Policy. Briefly
describe each. Include the time periods in your answer.
a. 1780’s-late1800’s-westward expansion-laws dealt with
management of public lands
b. late 1800’s-mid 1900’s-because the natural resources were
over used & environmental problems were starting, the
National Park System & Forest Reserve Act enacted
c. mid-1900’s-present-pollution created public outcry, EPA was
formed because of “Silent Spring”
9. When planning a federal project like a new dam, or highway, what
must be done first? EIS – Environmental Impact Statement
10. Which government agency is responsible for overseeing water
quality, and air pollution? EPA- Environmental Protection Agency
11. When a government sets rules and assigns punishment for
violations this is called? Command & control
12. Taxes that are placed on companies harming the environment are
called? Green taxes
13. What is it, when the government encourages an industry,
provides money or other things called? subsidy
14. A government decides how many units of pollution are
acceptable; permits are sold for that amount of units. Efficient
companies may sell excess units to less efficient companies. What
is this procedure called? Cap & trade
15. Explain how the environmental policy process is similar to the
scientific method. They both follow very similar steps & have a
procedure to be followed to get to the end product.
16. What is the mission of the Environmental Protection Agency
(EPA)? ESSAY question!! (pg. 46 in text) responsible for
conducting & evaluating research, monitoring environmental
quality & pollution levels, set & enforce pollution standards
17. Why are international environmental laws necessary? (ESSAY!!)
Pollution crosses boundaries/borders, especially air and water.
Birds also cross over borders & bring with them contaminants.
18. What was Rachel Carson’s message? (ESSAY!!) DDT was building
up in the food chain. Bird’s eggs became brittle & cracked causing
the birds to die off.
Vocabulary terms:
Green tax –
Cap and trade –
Lobbying –
Market failure –
Eco labeling –
Policy Economics Supply Demand Environmental policy –
Cost-benefit analysis Environmental impact statement (EIS) –
Ecological economics -
Command and control approach –
Environmental economics –
Subsidy –
Non market values –