Ex:
A free flowing river is a renewable resource of non accumulating type
because the annual replenishment don't add to any pre existing quantity.
So the relation in the non accumulating case become:
S1 = S instead of
S1 = S0 – Q0 + S in the case of accoimulating one
Note:
Non accumulating resources can be converted into accumulating one.
Ex: if one build reservoir on the river.
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3) Use value & Non use value
1- Use value means nature are being utilized in some sense.
Ex: water is used to irrigate crops which are then harvested & consumed.
* Used values are broken into extractive & non extractive resources.
2- Non use value: the existence of natural resources for future use & this is
called / (option value) or the desire to leave a healthy ecosystem to the
future generations & this called (bequest value.
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4) Resources development & resources preservation:
(resources development) means actions that transform natural resources to
a greater extent to help in increasing human welfare but
(resource preservation) putting resources aside in a state of non use or in a
state of keeping it to future generation.
5) Explain how natural resources economics is a branch of
applied economics?
- breach of the applied economics.
- Applied economics is the application of economic theory on any
phenomena.
- Nature resources economics is the study of the flow of natural
resources into the economy using its analytical tools like:
a) equations.
b) Graphs.
c) Nature.
d) Economic
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Define natural resources:
It can be defined in two ways:
a) population ecology:
it's a collection of organisms subject to growth and change as it is.
b) Ecosystem ecology:…………………………
3
Suppose we have two time periods.
Period (0) this year "today".
Period (1) Next year.