ENVIRO CONSERVATION EXAM 2
QUESTIONS AND ANSWERS GRADED A+
2025/2026
Voluntary transaction - ANS Monetary transaction only when it is beneficial to both.
Negative environmental externality - ANS Powerplant burns coal and emits CO2 and toxins
into air; companies benefit from profits because people buy energy. Negative externalities are
poor air quality that people and environment experience from chemicals released.
Open access natural resources - ANS Prone to negative externalities like tragedy of the
commons because individuals use the resource for their own benefit.
Unregulated dumping of industrial sewage - ANS As a byproduct of manufacturing, factory
owner gains free disposal of sewage but society pays the price in terms of lost products and
services.
Environmental impact assessment - ANS Evaluation of a project that considers its possible
present and future impacts on the environment.
Cost-benefit analysis - ANS Compares benefits gained against costs of project or resource use.
1 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED.
, Precautionary principle - ANS States it might be better to avoid taking a particular action due
to possibility of causing unexpected harm.
Ecosystem services - ANS Varied environmental benefits provided by biodiversity and
ecosystems in general to humans.
Provisioning - ANS Material or energy outputs of ecosystem, including food, medicines, and
raw materials.
Regulating - ANS Services provided by ecosystem acting as regulator of quality of air, water,
and soil.
Cultural - ANS Inspiration for art, design, music, and other cultural expression, aesthetics,
intellectual stimulation, and spiritual value.
Supporting - ANS Services that support those listed above like how a take provides a habitat
for fish then the fish are caught by a fishery.
Direct use - ANS Value of market goods and products from nature.
Indirect use - ANS Value of services nature provides to people.
Option value - ANS Value of nature's assets for future use.
Bequest value - ANS Value of protecting nature for future generations.
2 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED.
QUESTIONS AND ANSWERS GRADED A+
2025/2026
Voluntary transaction - ANS Monetary transaction only when it is beneficial to both.
Negative environmental externality - ANS Powerplant burns coal and emits CO2 and toxins
into air; companies benefit from profits because people buy energy. Negative externalities are
poor air quality that people and environment experience from chemicals released.
Open access natural resources - ANS Prone to negative externalities like tragedy of the
commons because individuals use the resource for their own benefit.
Unregulated dumping of industrial sewage - ANS As a byproduct of manufacturing, factory
owner gains free disposal of sewage but society pays the price in terms of lost products and
services.
Environmental impact assessment - ANS Evaluation of a project that considers its possible
present and future impacts on the environment.
Cost-benefit analysis - ANS Compares benefits gained against costs of project or resource use.
1 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED.
, Precautionary principle - ANS States it might be better to avoid taking a particular action due
to possibility of causing unexpected harm.
Ecosystem services - ANS Varied environmental benefits provided by biodiversity and
ecosystems in general to humans.
Provisioning - ANS Material or energy outputs of ecosystem, including food, medicines, and
raw materials.
Regulating - ANS Services provided by ecosystem acting as regulator of quality of air, water,
and soil.
Cultural - ANS Inspiration for art, design, music, and other cultural expression, aesthetics,
intellectual stimulation, and spiritual value.
Supporting - ANS Services that support those listed above like how a take provides a habitat
for fish then the fish are caught by a fishery.
Direct use - ANS Value of market goods and products from nature.
Indirect use - ANS Value of services nature provides to people.
Option value - ANS Value of nature's assets for future use.
Bequest value - ANS Value of protecting nature for future generations.
2 @COPYRIGHT 2025/2026 ALLRIGHTS RESERVED.
