Friday, September 18, 2015

ESS first take-home exam

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Environmental Scenarios and Solutions
First Midterm (Take Home) Exam
Professor Womersley
(Worth 15% of final grade)
Due Friday October 2nd by email or hard copy.

Instructions
Answer both questions. If you don’t know an answer, put down what you do know.
You may research answers. Give diagrams if needed. Cite important research other than material given in class or in the texts for the class. You must work alone.

1.     Microeconomic applications

You are a staffer working for New Vermaineshire state government in the Fish and Wildlife Division. You are asked to prepare an analysis of a proposal in the legislature to regulate moose permits using an online bidding system (similar to eBay) instead of the existing lottery. The same number of permits will be issued, only via open bidding. The only requirement to bid is that the bidder be a US resident and have taken a hunter safety course.

Specify in plain English, using diagrams if necessary, the effects on state revenue, on the price of permits, and which sections of the public will be either winners or losers as a result. State whether or not, in your own opinion as an experienced staffer, this policy is likely to be successful, reasoning from the available evidence and what you know of the local culture.

2.     Macroeconomic applications

If the state of New Vermaineshire chooses to implement the above policy, what would be the general macroeconomic effects to the state’s economy? List and detail these. Use diagrams if necessary.

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