Nov P2 Easy
476 Questions
0 Views

Choose a study mode

Play Quiz
Study Flashcards
Spaced Repetition
Chat to Lesson

Podcast

Play an AI-generated podcast conversation about this lesson

Questions and Answers

What happens when the marginal cost of producing an additional unit equals the marginal revenue obtained from selling that unit?

  • The firm is in equilibrium (correct)
  • The firm will make a loss
  • The firm should increase production
  • The firm should decrease production

What is the goal of governments in creating a perfect competitive market?

  • To create a monopoly
  • To protect the monopolist
  • To enhance economic efficiency (correct)
  • To promote unfair competition

What characterizes a monopoly?

  • A single company controlling the entire supply (correct)
  • Many firms producing a similar product
  • Free entry and exit of firms
  • Perfect substitutes available

What is a characteristic of oligopolies?

<p>A few firms dominating the market (A)</p> Signup and view all the answers

What is the goal of firms in monopolistic competition?

<p>To attract consumers through product differentiation (C)</p> Signup and view all the answers

What happens to economic profits in a monopolistically competitive market?

<p>They decrease in the long run (B)</p> Signup and view all the answers

What determines the shape of the demand curve for an oligopolist?

<p>The kinked demand curve prevents competitors from altering their prices (C)</p> Signup and view all the answers

Why do monopolies often achieve long-term economic profits?

<p>Due to the barriers to entry preventing new entrants (A)</p> Signup and view all the answers

What happens when marginal revenue equals marginal cost in an imperfect market?

<p>The firm maximizes profits (D)</p> Signup and view all the answers

What influences the dynamics of imperfect markets?

<p>The interplay of cost and revenue curves (A)</p> Signup and view all the answers

What is the main reason for government intervention in imperfect markets?

<p>To harness the benefits of market competition and mitigate its downsides (B)</p> Signup and view all the answers

Which of the following is an example of a positive externality?

<p>Education (A)</p> Signup and view all the answers

What is a characteristic of public goods?

<p>They are non-excludable and non-rivalrous (D)</p> Signup and view all the answers

What is a consequence of imperfect competition?

<p>Higher prices and reduced output (D)</p> Signup and view all the answers

What is a cause of market failures?

<p>All of the above (D)</p> Signup and view all the answers

What is a type of inefficiency that arises from the underutilization of resources?

<p>Productive inefficiency (D)</p> Signup and view all the answers

What is a consequence of market failures?

<p>Reduced social welfare (A)</p> Signup and view all the answers

How do governments typically provide public goods?

<p>Direct provision by the government (C)</p> Signup and view all the answers

What is an example of a negative externality?

<p>Pollution (C)</p> Signup and view all the answers

What is a goal of government intervention in market failures?

<p>To correct market failures and increase efficiency (D)</p> Signup and view all the answers

What is the primary objective of a firm in a perfect market?

<p>To maximize profit (B)</p> Signup and view all the answers

What is a characteristic of a perfectly competitive market?

<p>Homogeneous products (A)</p> Signup and view all the answers

What is the main distinction between an industry and an individual business in a perfect market?

<p>Industry comprises multiple businesses producing identical products, while individual businesses are price takers (C)</p> Signup and view all the answers

What is the purpose of revenue and cost concepts in a perfect market?

<p>To make decisions on output and pricing strategies (C)</p> Signup and view all the answers

What is a characteristic of individual businesses in a perfect market?

<p>Price taker (C)</p> Signup and view all the answers

What is the result of numerous buyers and sellers in a perfect market?

<p>Impossible for single entities to influence market prices (B)</p> Signup and view all the answers

What is the significance of perfect information in a perfect market?

<p>Ensures no single entity can wield undue influence over the market (C)</p> Signup and view all the answers

What is the condition of the market in a perfect market?

<p>Unregulated by the government (A)</p> Signup and view all the answers

What percentage of South Africa's workforce is directly employed by tourism?

<p>7% (D)</p> Signup and view all the answers

What is a key way that tourism promotes poverty reduction in rural areas?

<p>Resource distribution and local economy stimulation (B)</p> Signup and view all the answers

What is a major environmental challenge posed by high tourist activity?

<p>Resource depletion and waste management (B)</p> Signup and view all the answers

What is recommended to enhance the cultural tourism experience in South Africa?

<p>Promote indigenous knowledge systems (B)</p> Signup and view all the answers

What is a key policy recommendation for sustainable tourism development?

<p>Implement strict environmental regulations (B)</p> Signup and view all the answers

What is a type of tourism that involves exploring natural areas while promoting conservation?

<p>Ecotourism (A)</p> Signup and view all the answers

Why is it essential to develop under-explored areas in South Africa?

<p>To reduce tourist traffic in popular areas (D)</p> Signup and view all the answers

What is a key economic impact of tourism in South Africa?

<p>Significant contribution to national GDP (B)</p> Signup and view all the answers

What is a crucial aspect of environmental sustainability?

<p>Preserving the health and resources of the planet (D)</p> Signup and view all the answers

Why is education and training recommended for the tourism workforce?

<p>To provide high-quality services to tourists (B)</p> Signup and view all the answers

What is environmental sustainability?

<p>The ability of the environment to support economic activity indefinitely (A)</p> Signup and view all the answers

What is the main goal of conservation?

<p>To manage human use of the biosphere for sustainable benefit (A)</p> Signup and view all the answers

What is pollution?

<p>The introduction of contaminants into the natural environment (B)</p> Signup and view all the answers

What is a major environmental challenge?

<p>All of the above (C)</p> Signup and view all the answers

What is a market mechanism to ensure sustainability?

<p>Implementing environmental taxes and tradeable permits (C)</p> Signup and view all the answers

What is the aim of the Paris Agreement?

<p>To reduce greenhouse gas emissions (C)</p> Signup and view all the answers

What is the focus of the Johannesburg Summit?

<p>Furthering the goals established in Rio (A)</p> Signup and view all the answers

What is Agenda 21?

<p>A comprehensive plan of action for sustainable development (A)</p> Signup and view all the answers

What is a challenge facing the South African government's environmental sustainability interventions?

<p>All of the above (D)</p> Signup and view all the answers

What is a key aspect of sustainable development?

<p>Meeting the needs of current and future generations (D)</p> Signup and view all the answers

What is the primary goal of cost-benefit analysis in public policy?

<p>To ensure resources are used efficiently and enhance social welfare (D)</p> Signup and view all the answers

What is the main difference between consumer inflation and headline inflation?

<p>Consumer inflation includes all items in the consumer basket, while headline inflation excludes some items (C)</p> Signup and view all the answers

What is the primary cause of cost-push inflation?

<p>Increase in the cost of production (D)</p> Signup and view all the answers

What is the consequence of inflation on savings?

<p>It reduces the real value of saved money (A)</p> Signup and view all the answers

What is the target inflation range for the South African Reserve Bank?

<p>3% to 6% (D)</p> Signup and view all the answers

What is an example of a monetary policy tool used to combat inflation?

<p>Interest rates (B)</p> Signup and view all the answers

What is the term for an extremely high and typically accelerating inflation?

<p>Hyperinflation (C)</p> Signup and view all the answers

What is the benefit of inflation to debtors?

<p>It reduces the real value of their debt (D)</p> Signup and view all the answers

What is the term for a situation where high inflation is combined with stagnant economic growth and high unemployment?

<p>Stagflation (D)</p> Signup and view all the answers

What is the primary goal of inflation targeting by the South African Reserve Bank?

<p>To maintain inflation within a manageable range (B)</p> Signup and view all the answers

What is a characteristic of a monopoly?

<p>A single firm dominating the entire market (B)</p> Signup and view all the answers

What is the result of allocative inefficiency in imperfect markets?

<p>Lower output and higher prices (C)</p> Signup and view all the answers

What is a key feature of an oligopoly?

<p>Interdependence of firms (B)</p> Signup and view all the answers

What is the result of non-price competition in monopolistic competition?

<p>Increased customer loyalty (B)</p> Signup and view all the answers

What is the primary goal of government intervention in imperfect markets?

<p>To protect consumer interests (C)</p> Signup and view all the answers

What is a characteristic of monopolistic competition?

<p>Many firms selling differentiated products (C)</p> Signup and view all the answers

What is the result of strategic behaviors in oligopolies?

<p>Price fixing and collusive practices (B)</p> Signup and view all the answers

What is the outcome of imperfect markets in terms of economic efficiency?

<p>Allocative inefficiency and productive inefficiency (A)</p> Signup and view all the answers

What is the result of barriers to entry in monopolies?

<p>Sustained profits for the monopolist (A)</p> Signup and view all the answers

What is the outcome of monopolistic competition in the long run?

<p>Normal profits for firms (B)</p> Signup and view all the answers

Which of the following is a characteristic of a perfectly competitive market?

<p>Homogeneous products (C)</p> Signup and view all the answers

What is the primary objective of a firm in a perfect market?

<p>To maximize profit (B)</p> Signup and view all the answers

What is the significance of numerous buyers and sellers in a perfect market?

<p>It makes it impossible for single entities to influence market prices (B)</p> Signup and view all the answers

What is the role of revenue and cost concepts in a perfect market?

<p>To determine profit maximization (C)</p> Signup and view all the answers

What is the main distinction between an industry and an individual business in a perfect market?

<p>Industry is where businesses produce identical products, contributing to the industry's total output (A)</p> Signup and view all the answers

What is the condition of the market in a perfect market?

<p>Unregulated (C)</p> Signup and view all the answers

What is the significance of perfect information in a perfect market?

<p>It ensures that no single entity can wield undue influence over the market (A)</p> Signup and view all the answers

What is a characteristic of individual businesses in a perfect market?

<p>Price takers (A)</p> Signup and view all the answers

What is a key characteristic of a monopoly?

<p>A single firm dominating the market (C)</p> Signup and view all the answers

What is a consequence of imperfect competition?

<p>Higher prices and lower output (D)</p> Signup and view all the answers

Why do governments intervene in imperfect markets?

<p>To enhance competitive outcomes and protect consumer interests (B)</p> Signup and view all the answers

What is a key feature of oligopolies?

<p>Firms selling homogeneous products and interdependent decisions (C)</p> Signup and view all the answers

What is the outcome of monopolistic competition in the long run?

<p>Firms earn normal profits (B)</p> Signup and view all the answers

What is a consequence of monopolies and oligopolies?

<p>Lower output and higher prices (C)</p> Signup and view all the answers

What is a key characteristic of monopolistic competition?

<p>Many firms selling differentiated products (B)</p> Signup and view all the answers

What is the main reason for government intervention in imperfect markets?

<p>To enhance competitive outcomes and protect consumer interests (B)</p> Signup and view all the answers

What is a key difference between monopolies and oligopolies?

<p>Monopolies have a single firm, while oligopolies have few firms (C)</p> Signup and view all the answers

What is a consequence of imperfect markets?

<p>Allocative and productive inefficiencies (D)</p> Signup and view all the answers

What is the primary goal of government intervention in imperfect markets?

<p>To increase market competition and reduce inefficiencies (C)</p> Signup and view all the answers

What is an example of a negative externality?

<p>Pollution (B)</p> Signup and view all the answers

What is a characteristic of public goods?

<p>They are non-excludable and non-rivalrous (C)</p> Signup and view all the answers

What is a consequence of imperfect competition?

<p>Higher prices and reduced output (D)</p> Signup and view all the answers

What is a type of inefficiency that arises from the underutilization of resources?

<p>Productive inefficiency (B)</p> Signup and view all the answers

What is a cause of market failures?

<p>Externalities (B)</p> Signup and view all the answers

What is a consequence of market failures?

<p>Social welfare loss (C)</p> Signup and view all the answers

What is asymmetric information?

<p>When buyers and sellers do not have equal knowledge (B)</p> Signup and view all the answers

What is the goal of government intervention in market failures?

<p>To correct market failures and increase economic efficiency (C)</p> Signup and view all the answers

What is a result of imperfect distribution of income and wealth?

<p>Skewed production towards high-end goods and services (D)</p> Signup and view all the answers

What is the main characteristic of a perfectly competitive market?

<p>No barriers to entry and a large number of firms producing a homogeneous product (D)</p> Signup and view all the answers

What is the result of firms in a perfectly competitive market adjusting their output in response to profits and losses?

<p>An equilibrium where firms make normal profits but no economic profits (D)</p> Signup and view all the answers

What is the purpose of government policies in promoting perfect competition?

<p>To dismantle barriers to entry and promote transparency (D)</p> Signup and view all the answers

What is the shape of the demand curve for an oligopolist?

<p>A kinked curve (B)</p> Signup and view all the answers

What is the main characteristic of a monopolistically competitive market?

<p>Many firms sell products that are differentiated but serve a similar purpose (B)</p> Signup and view all the answers

What is the goal of firms in imperfect markets?

<p>To maximize profits where marginal revenue equals marginal cost (B)</p> Signup and view all the answers

What is a characteristic of monopolies?

<p>A single company or entity controls the entire supply of a product or service (A)</p> Signup and view all the answers

What is the main difference between imperfect markets and perfect competition?

<p>The presence of barriers to entry and the lack of perfect competition (C)</p> Signup and view all the answers

What is the significance of the interplay of cost and revenue curves in imperfect markets?

<p>It influences the strategic behavior of firms (B)</p> Signup and view all the answers

What is the goal of governments in creating competition policies?

<p>To promote transparency and ensure a level playing field in the market (A)</p> Signup and view all the answers

What is the primary goal of cost-benefit analysis in public policy?

<p>To ensure resources are used efficiently and enhance social welfare (A)</p> Signup and view all the answers

What type of inflation occurs when aggregate demand in an economy outpaces aggregate supply?

<p>Demand-pull inflation (C)</p> Signup and view all the answers

What is the primary objective of monetary policy in controlling inflation?

<p>Managing interest rates to control money supply and demand (D)</p> Signup and view all the answers

What is the consequence of inflation on the real value of money?

<p>It reduces the purchasing power of money (A)</p> Signup and view all the answers

What is the target inflation range for the South African Reserve Bank?

<p>3% to 6% (D)</p> Signup and view all the answers

What type of inflation is characterized by extremely high and typically accelerating inflation?

<p>Hyperinflation (A)</p> Signup and view all the answers

What is the result of income redistribution due to inflation?

<p>It benefits debtors at the expense of creditors (B)</p> Signup and view all the answers

What is the primary goal of environmental sustainability?

<p>To ensure the long-term health and efficiency of the environment and its ecosystems (B)</p> Signup and view all the answers

What is a consequence of inflation on savings?

<p>It reduces the real value of saved money (D)</p> Signup and view all the answers

What is a type of inflation that strips out volatile items like food and energy?

<p>Core inflation (B)</p> Signup and view all the answers

What is the main goal of conservation?

<p>To manage human use of the biosphere for sustainable benefit (A)</p> Signup and view all the answers

What is the main cause of air, water, and soil pollution?

<p>Industrial activities and waste mismanagement (C)</p> Signup and view all the answers

What is a situation where high inflation is combined with stagnant economic growth and high unemployment?

<p>Stagflation (C)</p> Signup and view all the answers

What is the focus of the Johannesburg Summit?

<p>To promote sustainable development globally (B)</p> Signup and view all the answers

What is the aim of the Paris Agreement?

<p>To keep global temperature rise well below 2 degrees Celsius (A)</p> Signup and view all the answers

What is the main challenge facing the South African government's environmental sustainability interventions?

<p>Enforcement and achieving a balance between economic development and environmental protection (C)</p> Signup and view all the answers

What is a market mechanism to ensure sustainability?

<p>Environmental taxes and tradeable permits (C)</p> Signup and view all the answers

What is the main goal of preservation?

<p>To protect ecosystems, biodiversity, and environments from harmful human activities (D)</p> Signup and view all the answers

What is the primary goal of Agenda 21?

<p>To promote sustainable development globally (C)</p> Signup and view all the answers

What is the main environmental challenge posed by high tourist activity?

<p>Pollution (A)</p> Signup and view all the answers

What is the percentage of South Africa's workforce directly employed by tourism?

<p>7% (B)</p> Signup and view all the answers

What is the focus of cultural tourism?

<p>Engaging with local arts, museums, and cultural sites (A)</p> Signup and view all the answers

What is a key benefit of tourism in South Africa?

<p>All of the above (D)</p> Signup and view all the answers

What is a major environmental challenge posed by high tourist activity?

<p>Waste management and ecosystem stress (B)</p> Signup and view all the answers

What is a key policy recommendation for sustainable tourism development?

<p>Implementing strict regulations to preserve natural sites (B)</p> Signup and view all the answers

What is the significance of indigenous knowledge systems in cultural tourism?

<p>Providing unique experiences to tourists (B)</p> Signup and view all the answers

Why is it essential to develop under-explored areas in South Africa?

<p>To divert tourist flows from over-visited sites (C)</p> Signup and view all the answers

What is the primary goal of conservation?

<p>Preserving natural resources (B)</p> Signup and view all the answers

What is environmental sustainability?

<p>Preserving the health and resources of the planet for future generations (C)</p> Signup and view all the answers

What is the significance of education and training in the tourism sector?

<p>Providing high-quality services to tourists (C)</p> Signup and view all the answers

When does a firm in a perfectly competitive market increase production to enhance profits?

<p>When MR exceeds MC (D)</p> Signup and view all the answers

What is a critical tool for economic analysis and policy formulation?

<p>Perfect markets and perfect competition (D)</p> Signup and view all the answers

What is a characteristic of imperfect markets?

<p>Lack of perfect competition (B)</p> Signup and view all the answers

What is a barrier to entry that helps maintain a monopoly's exclusive control?

<p>All of the above (D)</p> Signup and view all the answers

What is a characteristic of oligopolies?

<p>Many firms dominate the market (B)</p> Signup and view all the answers

What is a consequence of imperfect competition?

<p>Market inefficiencies (A)</p> Signup and view all the answers

What is a characteristic of monopolistic competition?

<p>Firms sell differentiated products (D)</p> Signup and view all the answers

What influences the dynamics of imperfect markets?

<p>Market structure and strategic behavior of firms (B)</p> Signup and view all the answers

What is the goal of firms in imperfect markets?

<p>To maximize profits (B)</p> Signup and view all the answers

What is a characteristic of long-term dynamics in perfect markets?

<p>Firms make normal profits (A)</p> Signup and view all the answers

What is the primary goal of a firm in a perfect market?

<p>To maximize profit (A)</p> Signup and view all the answers

What is a characteristic of a perfectly competitive market?

<p>Homogeneous products (B)</p> Signup and view all the answers

What is the significance of perfect information in a perfect market?

<p>It ensures that no single entity can wield undue influence (A)</p> Signup and view all the answers

What is the main distinction between an industry and an individual business in a perfect market?

<p>The total output and market prices (D)</p> Signup and view all the answers

What is the purpose of revenue and cost concepts in a perfect market?

<p>To inform decision-making on output and pricing strategies (A)</p> Signup and view all the answers

What is a characteristic of individual businesses in a perfect market?

<p>They are price takers (C)</p> Signup and view all the answers

What is the result of numerous buyers and sellers in a perfect market?

<p>It makes it impossible for single entities to influence market prices (D)</p> Signup and view all the answers

What determines the market price in a perfect market?

<p>The interaction of numerous buyers and sellers (C)</p> Signup and view all the answers

What is a primary goal of government intervention in imperfect markets?

<p>To increase market competition and reduce inefficiencies (D)</p> Signup and view all the answers

What type of goods are typically underprovided by private markets?

<p>Public goods (C)</p> Signup and view all the answers

What is a consequence of asymmetric information in markets?

<p>Reduced consumer welfare (A)</p> Signup and view all the answers

What is a cause of market failures?

<p>All of the above (D)</p> Signup and view all the answers

What is a type of inefficiency that arises from the misallocation of resources?

<p>Allocative inefficiency (A)</p> Signup and view all the answers

What is a consequence of market failures?

<p>Economic inequities and social issues (D)</p> Signup and view all the answers

What is an example of a negative externality?

<p>Pollution (D)</p> Signup and view all the answers

What is a goal of government intervention in market failures?

<p>To correct market failures and promote efficiency (B)</p> Signup and view all the answers

What is a characteristic of imperfect markets?

<p>Monopolies and oligopolies (B)</p> Signup and view all the answers

What is a way to address market failures?

<p>Imposing taxes on negative externalities (A)</p> Signup and view all the answers

What is a characteristic of monopolies in imperfect markets?

<p>A single firm dominating the market with no close substitutes (C)</p> Signup and view all the answers

What is the result of imperfect competition in markets?

<p>Allocative and productive inefficiencies (A)</p> Signup and view all the answers

What is the primary goal of government intervention in imperfect markets?

<p>To enhance competitive outcomes and protect consumer interests (C)</p> Signup and view all the answers

What is a characteristic of oligopolies in imperfect markets?

<p>Firms producing differentiated products with some interdependence (B)</p> Signup and view all the answers

What is the result of monopolistic competition in markets?

<p>Lower prices and higher output due to competitive pressure (D)</p> Signup and view all the answers

What is a type of inefficiency that arises from the underutilization of resources?

<p>Productive inefficiency (C)</p> Signup and view all the answers

What is the primary goal of cost-benefit analysis in public policy?

<p>To ensure resources are used efficiently and enhance social welfare (A)</p> Signup and view all the answers

What is the consequence of imperfect competition on economic welfare?

<p>Decreased economic welfare due to welfare losses (D)</p> Signup and view all the answers

What is the characteristic of firms in monopolistic competition?

<p>Firms have some control over prices due to product differentiation (B)</p> Signup and view all the answers

What is inflation?

<p>A sustained increase in the general price level of goods and services (A)</p> Signup and view all the answers

What is the main consequence of inflation?

<p>Reduced purchasing power (B)</p> Signup and view all the answers

What is the impact of imperfect competition on market prices?

<p>Prices are higher than marginal costs (B)</p> Signup and view all the answers

What is a characteristic of hyperinflation?

<p>Extremely high and accelerating inflation (A)</p> Signup and view all the answers

What is the role of government intervention in imperfect markets?

<p>To enhance competitive outcomes and protect consumer interests (D)</p> Signup and view all the answers

What is a measure used to combat inflation?

<p>All of the above (D)</p> Signup and view all the answers

What is the target inflation rate in South Africa?

<p>3% to 6% (C)</p> Signup and view all the answers

What is a type of inflation that strips out volatile items like food and energy?

<p>Core inflation (A)</p> Signup and view all the answers

What is a consequence of inflation?

<p>Reduced purchasing power and income redistribution (B)</p> Signup and view all the answers

What is the view that suggests inflation is a result of an increase in money supply?

<p>Monetarists' view (C)</p> Signup and view all the answers

What is the primary objective of cost-benefit analysis in public policy?

<p>To ensure resources are used efficiently and enhance social welfare (D)</p> Signup and view all the answers

What is the primary contribution of tourism to the national GDP of South Africa?

<p>Through consumption by tourists and indirect supply chain activities (C)</p> Signup and view all the answers

What is a major environmental challenge posed by high tourist activity in South Africa?

<p>Resource depletion and waste management (D)</p> Signup and view all the answers

What is recommended to enhance the cultural tourism experience in South Africa?

<p>Promoting indigenous knowledge systems (C)</p> Signup and view all the answers

What is a key policy recommendation for sustainable tourism development in South Africa?

<p>Implementing strict regulations to preserve natural sites (C)</p> Signup and view all the answers

What is the significance of environmental sustainability in South Africa?

<p>Preserving natural sites for future generations (D)</p> Signup and view all the answers

What is the role of tourism in employment creation in South Africa?

<p>Directly employing 7% of the workforce (D)</p> Signup and view all the answers

What is a key aspect of strategic spatial distribution in South Africa?

<p>Developing under-explored areas to divert tourist flows (C)</p> Signup and view all the answers

What is the primary goal of marketing and promotion strategies in tourism development?

<p>Showcasing South Africa's diverse attractions (B)</p> Signup and view all the answers

What is a key benefit of tourism in South Africa?

<p>Boosting the national GDP through consumption and supply chain activities (C)</p> Signup and view all the answers

What is the main objective of education and training in the tourism sector?

<p>Providing high-quality services to tourists (D)</p> Signup and view all the answers

What is the primary goal of environmental sustainability?

<p>To ensure the long-term health and efficiency of the environment and its ecosystems (D)</p> Signup and view all the answers

What is the main difference between conservation and preservation?

<p>Conservation involves managing human use of the biosphere, while preservation involves protecting ecosystems and biodiversity from harm (D)</p> Signup and view all the answers

What is the primary cause of climate change?

<p>Greenhouse gas emissions (C)</p> Signup and view all the answers

What is the focus of the Rio de Janeiro Summit (UNCED 1992)?

<p>To promote sustainable development and build a global partnership (B)</p> Signup and view all the answers

What is the aim of the Kyoto Protocol?

<p>To reduce greenhouse gas emissions (C)</p> Signup and view all the answers

What is a key aspect of sustainable development?

<p>Meeting the needs of the present without compromising the ability of future generations to meet their own needs (A)</p> Signup and view all the answers

What is a challenge facing the South African government's environmental sustainability interventions?

<p>Enforcement, funding, and achieving the desired balance between economic development and environmental protection (A)</p> Signup and view all the answers

What is a market mechanism to ensure sustainability?

<p>Environmental taxes and tradeable permits (D)</p> Signup and view all the answers

What is the primary goal of the Paris Agreement?

<p>To keep a global temperature rise this century well below 2 degrees Celsius above pre-industrial levels (A)</p> Signup and view all the answers

What is the focus of the Johannesburg Summit (WSSD 2002)?

<p>To further the goals established in Rio, emphasizing the need to enhance the implementation of sustainable development practices globally (C)</p> Signup and view all the answers

What is the primary objective of a firm in a perfect market?

<p>To maximize profit (B)</p> Signup and view all the answers

What characterizes a perfectly competitive market?

<p>Multiple buyers and sellers (A)</p> Signup and view all the answers

What is a key feature of products in a perfectly competitive market?

<p>Homogeneous goods (C)</p> Signup and view all the answers

What is the significance of perfect information in a perfect market?

<p>It ensures maximum efficiency (C)</p> Signup and view all the answers

What is a characteristic of individual businesses in a perfect market?

<p>Price taker (D)</p> Signup and view all the answers

What is the main distinction between an industry and an individual business in a perfect market?

<p>Industry comprises multiple businesses (A)</p> Signup and view all the answers

What do revenue and cost concepts help with in a perfect market?

<p>Decision-making (A)</p> Signup and view all the answers

What is a result of numerous buyers and sellers in a perfect market?

<p>Impossible for single entities to influence market prices (D)</p> Signup and view all the answers

What happens when marginal revenue equals marginal cost in a firm?

<p>The firm will maintain the current level of production. (A)</p> Signup and view all the answers

What is a characteristic of imperfect markets?

<p>Firms have some degree of market power. (C)</p> Signup and view all the answers

What is the goal of firms in imperfect markets?

<p>To maximize profits. (C)</p> Signup and view all the answers

What is a characteristic of monopolistic competition?

<p>Many firms produce differentiated products. (C)</p> Signup and view all the answers

What happens to economic profits in a monopolistically competitive market?

<p>They tend to decrease over time. (A)</p> Signup and view all the answers

What influences the dynamics of imperfect markets?

<p>The interplay of cost and revenue curves and market structure (D)</p> Signup and view all the answers

What is a characteristic of a monopoly?

<p>A single firm produces the entire supply of a product or service. (B)</p> Signup and view all the answers

What is a characteristic of oligopolies?

<p>A few firms dominate the market. (C)</p> Signup and view all the answers

What is the main distinction between perfect and imperfect markets?

<p>The degree of market power held by firms. (D)</p> Signup and view all the answers

What is the goal of governments in promoting perfect competition?

<p>To enhance economic efficiency and equity. (D)</p> Signup and view all the answers

What is a key characteristic of a monopoly?

<p>A single firm dominating the entire market (D)</p> Signup and view all the answers

What is a consequence of imperfect competition?

<p>Lower output and higher prices (B)</p> Signup and view all the answers

Why do governments intervene in imperfect markets?

<p>To enhance competitive outcomes and protect consumer interests (A)</p> Signup and view all the answers

What is a key feature of an oligopoly?

<p>A few firms competing with each other (C)</p> Signup and view all the answers

What is a characteristic of monopolistic competition?

<p>Many firms selling differentiated products (B)</p> Signup and view all the answers

What can lead to welfare losses in imperfect markets?

<p>Lower output and higher prices (A)</p> Signup and view all the answers

What is a key difference between monopolies and oligopolies?

<p>The number of firms in the market (B)</p> Signup and view all the answers

What is a consequence of imperfect markets?

<p>Allocative and productive inefficiencies (C)</p> Signup and view all the answers

What is a key characteristic of monopolies?

<p>A single firm dominating the entire market (B)</p> Signup and view all the answers

What is a goal of government intervention in imperfect markets?

<p>To enhance competitive outcomes and protect consumer interests (D)</p> Signup and view all the answers

What is the primary reason for government intervention in imperfect markets?

<p>To increase market competition and reduce inefficiencies (D)</p> Signup and view all the answers

What is an example of a negative externality?

<p>Pollution (A)</p> Signup and view all the answers

What is a characteristic of public goods?

<p>They are non-excludable and non-rivalrous (C)</p> Signup and view all the answers

What is a consequence of market failures?

<p>Net social welfare loss (A)</p> Signup and view all the answers

What is a type of inefficiency that arises from the underutilization of resources?

<p>Productive inefficiency (D)</p> Signup and view all the answers

What is a cause of market failures?

<p>Imperfect competition (A)</p> Signup and view all the answers

What is a goal of government intervention in market failures?

<p>To correct market failures and increase efficiency (A)</p> Signup and view all the answers

What is an example of a positive externality?

<p>Education (D)</p> Signup and view all the answers

What is a consequence of imperfect distribution of income and wealth?

<p>Skewed production towards high-end goods and services (D)</p> Signup and view all the answers

What is a type of market failure that arises from the unequal distribution of information?

<p>Asymmetric information (B)</p> Signup and view all the answers

What is the primary goal of cost-benefit analysis in public policy?

<p>To evaluate the social costs and benefits of government interventions (B)</p> Signup and view all the answers

What type of inflation measures the change in price for a basket of goods and services consumed by households?

<p>Consumer Inflation (C)</p> Signup and view all the answers

What is the result of an increase in the cost of production due to higher wages, raw material costs, and other expenses?

<p>Cost-push Inflation (D)</p> Signup and view all the answers

What is the target range for inflation set by the South African Reserve Bank?

<p>3% to 6% (A)</p> Signup and view all the answers

What is the consequence of inflation on savings?

<p>Reduces the real value of saved money (B)</p> Signup and view all the answers

What is the monetary policy tool used to control money supply and demand?

<p>Interest Rates (B)</p> Signup and view all the answers

What is the characteristic of hyperinflation?

<p>Extremely high and typically accelerating inflation (D)</p> Signup and view all the answers

What is the consequence of inflation on income distribution?

<p>Redistributes income from creditors to debtors (A)</p> Signup and view all the answers

What is the goal of wage controls as a measure to combat inflation?

<p>To limit wage increases to prevent spiraling inflation (C)</p> Signup and view all the answers

What is the type of inflation that combines high inflation with stagnant economic growth and high unemployment?

<p>Stagflation (B)</p> Signup and view all the answers

What percentage of South Africa's workforce is directly employed by tourism?

<p>7% (B)</p> Signup and view all the answers

What is a key way that tourism promotes poverty reduction in rural areas?

<p>By stimulating local economies (C)</p> Signup and view all the answers

What is a major environmental challenge posed by high tourist activity?

<p>Increased water consumption (B)</p> Signup and view all the answers

What is recommended to enhance the cultural tourism experience in South Africa?

<p>Promoting indigenous knowledge systems (C)</p> Signup and view all the answers

What is a key policy recommendation for sustainable tourism development?

<p>Investing in improving tourism-related infrastructure (D)</p> Signup and view all the answers

What type of tourism involves exploring natural areas while promoting conservation?

<p>Ecotourism (A)</p> Signup and view all the answers

What is the main goal of environmental sustainability?

<p>To ensure that future generations can meet their needs without compromise (C)</p> Signup and view all the answers

What is conservation?

<p>The management of human use of the biosphere for sustainable benefit (B)</p> Signup and view all the answers

Why is it essential to develop under-explored areas in South Africa?

<p>To divert tourist flows from over-visited sites (A)</p> Signup and view all the answers

What is a key economic impact of tourism in South Africa?

<p>Significantly contributing to the national GDP (D)</p> Signup and view all the answers

What is a major environmental challenge?

<p>All of the above (D)</p> Signup and view all the answers

What is a market mechanism to ensure sustainability?

<p>All of the above (D)</p> Signup and view all the answers

What is a crucial aspect of environmental sustainability?

<p>Preserving natural resources and the environment (D)</p> Signup and view all the answers

Why is education and training recommended for the tourism workforce?

<p>To provide high-quality services to tourists (D)</p> Signup and view all the answers

What is the aim of the Paris Agreement?

<p>To reduce greenhouse gas emissions and limit global warming (B)</p> Signup and view all the answers

What is the focus of the Johannesburg Summit?

<p>To further the goals established in Rio (A)</p> Signup and view all the answers

What is Agenda 21?

<p>A comprehensive plan of action for sustainable development (D)</p> Signup and view all the answers

What is a key aspect of sustainable development?

<p>Promoting social and environmental welfare (D)</p> Signup and view all the answers

What is a challenge facing the South African government's environmental sustainability interventions?

<p>Lack of funding and enforcement (A)</p> Signup and view all the answers

What is pollution?

<p>The introduction of contaminants into the natural environment (B)</p> Signup and view all the answers

What is the primary objective of firms in a perfect market?

<p>To maximize profit (C)</p> Signup and view all the answers

What characterizes products in a perfectly competitive market?

<p>Homogeneity of goods (B)</p> Signup and view all the answers

What is the impact of numerous buyers and sellers in a perfect market?

<p>No influence over market prices (D)</p> Signup and view all the answers

What is the significance of perfect information in a perfect market?

<p>Complete information about market conditions (A)</p> Signup and view all the answers

What is the distinction between an industry and an individual business in a perfect market?

<p>An industry has multiple businesses, an individual business is a single entity (C)</p> Signup and view all the answers

What is the purpose of revenue and cost concepts in a perfect market?

<p>To make decisions on output and pricing strategies (C)</p> Signup and view all the answers

What is a characteristic of individual businesses in a perfect market?

<p>Price takers (B)</p> Signup and view all the answers

What is the condition of the market in a perfect market?

<p>Unregulated (D)</p> Signup and view all the answers

What is a characteristic of a monopoly?

<p>A single firm dominating the market with no close substitutes (B)</p> Signup and view all the answers

What is a consequence of monopolies and oligopolies?

<p>Allocative and productive inefficiencies (A)</p> Signup and view all the answers

Why do governments intervene in imperfect markets?

<p>To enhance competitive outcomes and protect consumer interests (B)</p> Signup and view all the answers

What is a characteristic of oligopolies?

<p>A few firms producing homogeneous or differentiated products (D)</p> Signup and view all the answers

What is a consequence of monopolistic competition?

<p>Redundant expenditures on advertising and marketing (A)</p> Signup and view all the answers

What determines the dynamics of imperfect markets?

<p>Demand and cost structures (B)</p> Signup and view all the answers

What is a characteristic of imperfect markets?

<p>Deviation from the idealized model of perfect competition (C)</p> Signup and view all the answers

What is the goal of government intervention in imperfect markets?

<p>To enhance competitive outcomes and protect consumer interests (D)</p> Signup and view all the answers

What is a consequence of allocative inefficiency in imperfect markets?

<p>Increased welfare losses (D)</p> Signup and view all the answers

What is a characteristic of monopolistic competition?

<p>Many firms producing differentiated products (D)</p> Signup and view all the answers

When does a firm in a perfectly competitive market increase production?

<p>When marginal revenue exceeds marginal cost (A)</p> Signup and view all the answers

What is a characteristic of imperfect markets?

<p>Firms have market power (B)</p> Signup and view all the answers

What is a characteristic of monopolistic competition?

<p>Firms differentiate their products (A)</p> Signup and view all the answers

What happens to economic profits in an oligopoly?

<p>Firms earn high economic profits (B)</p> Signup and view all the answers

What is the shape of the demand curve for an oligopolist?

<p>Kinked (C)</p> Signup and view all the answers

Why do governments aim to emulate the conditions of perfect competition?

<p>To enhance economic efficiency (D)</p> Signup and view all the answers

What is a characteristic of a perfectly competitive market?

<p>Firms are price-takers (C)</p> Signup and view all the answers

What is the goal of firms in a perfectly competitive market?

<p>To maximize profits (C)</p> Signup and view all the answers

What is a characteristic of a monopoly?

<p>A single firm controls the entire supply of a product or service (A)</p> Signup and view all the answers

What influences the dynamics of imperfect markets?

<p>The interplay of cost and revenue curves, market structure, and the strategic behavior of firms (B)</p> Signup and view all the answers

What is the primary goal of government intervention in imperfect markets?

<p>To increase market competition and reduce inefficiencies (C)</p> Signup and view all the answers

Which of the following is a characteristic of public goods?

<p>They are non-excludable and non-rivalrous (A)</p> Signup and view all the answers

What is a consequence of imperfect competition?

<p>Higher prices and reduced output (B)</p> Signup and view all the answers

Which of the following is an example of a negative externality?

<p>Pollution (A)</p> Signup and view all the answers

What is a type of inefficiency that arises from the underutilization of resources?

<p>Productive inefficiency (B)</p> Signup and view all the answers

What is a goal of government intervention in market failures?

<p>To correct market failures and promote efficient allocation of resources (A)</p> Signup and view all the answers

Which of the following is a cause of market failures?

<p>All of the above (D)</p> Signup and view all the answers

What is a consequence of asymmetric information?

<p>Choices that do not maximize welfare (C)</p> Signup and view all the answers

What is a type of goods that are underprovided by private markets?

<p>Public goods (B)</p> Signup and view all the answers

What is a result of imperfect distribution of income and wealth?

<p>Inefficient allocation of resources (C)</p> Signup and view all the answers

What percentage of South Africa's workforce is directly employed by tourism?

<p>7% (B)</p> Signup and view all the answers

What is a key way that tourism promotes poverty reduction in rural areas?

<p>By stimulating local economies (A)</p> Signup and view all the answers

What is a major environmental challenge posed by high tourist activity?

<p>Increased resource depletion (D)</p> Signup and view all the answers

What is recommended to enhance the cultural tourism experience in South Africa?

<p>Promoting indigenous knowledge systems (D)</p> Signup and view all the answers

What is a key policy recommendation for sustainable tourism development?

<p>Enhancing environmental management (A)</p> Signup and view all the answers

What type of tourism involves exploring natural areas while promoting conservation?

<p>Ecotourism (A)</p> Signup and view all the answers

Why is it essential to develop under-explored areas in South Africa?

<p>To divert tourist flows from over-visited sites (C)</p> Signup and view all the answers

What is a key economic impact of tourism in South Africa?

<p>Significantly contributing to the national GDP (A)</p> Signup and view all the answers

What is a crucial aspect of environmental sustainability?

<p>Preserving natural resources (B)</p> Signup and view all the answers

Why is education and training recommended for the tourism workforce?

<p>To provide high-quality services to tourists (B)</p> Signup and view all the answers

What is the primary purpose of cost-benefit analysis in public policy?

<p>To evaluate the social costs and benefits of interventions (C)</p> Signup and view all the answers

What is the result of a sustained increase in the general price level of goods and services in an economy?

<p>Inflation (A)</p> Signup and view all the answers

What is the primary goal of monetary policy in controlling inflation?

<p>To manage the money supply and demand (B)</p> Signup and view all the answers

What is the consequence of inflation on the purchasing power of money?

<p>It reduces the purchasing power of money (D)</p> Signup and view all the answers

What is the primary goal of fiscal policy in controlling inflation?

<p>To influence economic activity (C)</p> Signup and view all the answers

What is the consequence of inflation on savings?

<p>It discourages saving and investment (C)</p> Signup and view all the answers

What is the primary goal of the South African Reserve Bank's inflation targeting strategy?

<p>To maintain inflation within a range of 3% to 6% (B)</p> Signup and view all the answers

What is the type of inflation that strips out volatile items like food and energy?

<p>Core Inflation (B)</p> Signup and view all the answers

What is the type of inflation that occurs when aggregate demand in an economy outpaces aggregate supply?

<p>Demand-pull Inflation (C)</p> Signup and view all the answers

What is the consequence of inflation on debtors and creditors?

<p>It benefits debtors at the expense of creditors (B)</p> Signup and view all the answers

What is environmental sustainability?

<p>The ability to use natural resources indefinitely without compromising the needs of future generations (D)</p> Signup and view all the answers

What is the primary goal of conservation?

<p>To protect ecosystems, biodiversity, and environments from harmful human activities (D)</p> Signup and view all the answers

What is the main challenge facing the South African government's environmental sustainability interventions?

<p>Challenges in balancing economic development with environmental protection (B)</p> Signup and view all the answers

What is the aim of the Rio de Janeiro Summit?

<p>To establish a global partnership for sustainable development (B)</p> Signup and view all the answers

What is the focus of the Johannesburg Summit?

<p>To enhance the implementation of sustainable development practices globally (D)</p> Signup and view all the answers

What is a market mechanism to ensure sustainability?

<p>Implementing environmental taxes and tradeable permits (D)</p> Signup and view all the answers

What is the primary goal of the Kyoto Protocol?

<p>To reduce greenhouse gas emissions and combat climate change (B)</p> Signup and view all the answers

What is the main goal of sustainable development?

<p>To end poverty, protect the planet, and ensure peace and prosperity (C)</p> Signup and view all the answers

What is a key aspect of sustainable development?

<p>Balancing economic development with environmental protection (D)</p> Signup and view all the answers

What is the primary goal of the Paris Agreement?

<p>To keep a global temperature rise this century well below 2 degrees Celsius (D)</p> Signup and view all the answers

What is the primary goal of firms in a perfect market?

<p>To maximize profit (A)</p> Signup and view all the answers

What is the ideal market structure that governments aim to emulate?

<p>Perfect Competition (A)</p> Signup and view all the answers

What is the characteristic of products in a perfectly competitive market?

<p>Homogeneous (A)</p> Signup and view all the answers

What is the characteristic of a monopoly?

<p>A single company controlling the entire supply (B)</p> Signup and view all the answers

What is the result of numerous buyers and sellers in a perfect market?

<p>Impossible for single entities to influence market prices (A)</p> Signup and view all the answers

What is the significance of perfect information in a perfect market?

<p>Ensures no single entity can wield undue influence (C)</p> Signup and view all the answers

What is the primary goal of firms in imperfect markets?

<p>To maximize economic profits (B)</p> Signup and view all the answers

What is the main distinction between an industry and an individual business in a perfect market?

<p>Industry is a group of businesses, individual business is a single entity (A)</p> Signup and view all the answers

What is the main difference between perfect and imperfect markets?

<p>Degree of competition among firms (A)</p> Signup and view all the answers

What is the result of numerous buyers and sellers in a perfect market?

<p>Efficient allocation of resources (A)</p> Signup and view all the answers

Which type of market structure is characterized by a single firm dominating the entire market for a product or service?

<p>Monopoly (D)</p> Signup and view all the answers

What is the purpose of revenue and cost concepts in a perfect market?

<p>To make decisions on output and pricing strategies (A)</p> Signup and view all the answers

What is a characteristic of individual businesses in a perfect market?

<p>They are price takers (A)</p> Signup and view all the answers

What is the main characteristic of oligopolies?

<p>Few firms dominating a market (C)</p> Signup and view all the answers

What is a key feature of oligopolies?

<p>Interdependence of firms (D)</p> Signup and view all the answers

What is a characteristic of monopolistic competition?

<p>Firms selling differentiated products that are not perfect substitutes (A)</p> Signup and view all the answers

What is the condition of the market in a perfect market?

<p>Unregulated (C)</p> Signup and view all the answers

What is the long-term dynamic in perfectly competitive markets?

<p>Firms enter and exit the market based on profits and losses (B)</p> Signup and view all the answers

What is the result of imperfect competition?

<p>Market inefficiencies (C)</p> Signup and view all the answers

What is a consequence of imperfect competition?

<p>Lower output and higher prices (B)</p> Signup and view all the answers

What is the primary goal of government intervention in imperfect markets?

<p>To prevent monopolies and foster fair competition (D)</p> Signup and view all the answers

Why do governments intervene in imperfect markets?

<p>To reduce welfare losses to society (A)</p> Signup and view all the answers

What is the main difference between monopolistic competition and perfect competition?

<p>Degree of product differentiation (C)</p> Signup and view all the answers

What is a characteristic of monopolies?

<p>A single firm dominating the entire market (B)</p> Signup and view all the answers

What is a result of imperfect competition?

<p>Higher prices and lower output (C)</p> Signup and view all the answers

What is a feature of monopolistic competition?

<p>Firms advertising and differentiating their products (B)</p> Signup and view all the answers

Why do monopolies often achieve long-term economic profits?

<p>Because of barriers to entry, such as patents and regulatory measures (B)</p> Signup and view all the answers

What is a goal of government intervention in imperfect markets?

<p>To control monopolistic and oligopolistic powers (D)</p> Signup and view all the answers

What is a consequence of market failures?

<p>Social welfare loss and inefficient allocation of resources (C)</p> Signup and view all the answers

What is a cause of market failures?

<p>Externalities (A)</p> Signup and view all the answers

What is a characteristic of public goods?

<p>Non-excludable and non-rivalrous (A)</p> Signup and view all the answers

What is an example of a negative externality?

<p>Pollution (C)</p> Signup and view all the answers

What is a goal of government intervention in market failures?

<p>To correct market failures and increase economic efficiency (A)</p> Signup and view all the answers

What is a type of inefficiency that arises from the underutilization of resources?

<p>Productive inefficiency (A)</p> Signup and view all the answers

What is a cause of imperfect competition?

<p>A small number of firms and high barriers to entry (A)</p> Signup and view all the answers

What is a consequence of asymmetric information?

<p>Choices that do not maximize welfare (D)</p> Signup and view all the answers

What is a type of goods that may be underprovided by the private market?

<p>Merit goods (A)</p> Signup and view all the answers

What is a goal of government regulation in imperfect markets?

<p>To increase market competition and reduce inefficiencies (C)</p> Signup and view all the answers

What is the primary goal of cost-benefit analysis in public policy?

<p>To evaluate the social costs and benefits of interventions aimed at correcting market failures (C)</p> Signup and view all the answers

What is the main difference between consumer inflation and headline inflation?

<p>Consumer inflation measures the change in price for a basket of goods and services consumed by households, while headline inflation is the total unadjusted inflation (A)</p> Signup and view all the answers

What is the result of extremely high and typically accelerating inflation?

<p>Hyperinflation (D)</p> Signup and view all the answers

What is the primary objective of the South African Reserve Bank's inflation targeting?

<p>To maintain inflation within a manageable range of 3% to 6% (B)</p> Signup and view all the answers

What is the consequence of inflation on savings?

<p>It reduces the real value of saved money (A)</p> Signup and view all the answers

What is the impact of inflation on debtors and creditors?

<p>It benefits debtors at the expense of creditors (B)</p> Signup and view all the answers

What is the name of the index that measures price changes before they reach the consumer?

<p>Producer Price Index (PPI) (D)</p> Signup and view all the answers

What is the term for inflation influenced by prices set by the government or regulatory bodies?

<p>Administered Prices Inflation (B)</p> Signup and view all the answers

What is the term for a situation where high inflation is combined with stagnant economic growth and high unemployment?

<p>Stagflation (B)</p> Signup and view all the answers

What is the main tool used by governments to evaluate the social costs and benefits of interventions aimed at correcting market failures?

<p>Cost-benefit analysis (D)</p> Signup and view all the answers

What percentage of South Africa's workforce is directly employed by tourism?

<p>7% (C)</p> Signup and view all the answers

What is a way that tourism promotes poverty reduction in rural areas?

<p>By stimulating local economies (A)</p> Signup and view all the answers

What is a major environmental challenge posed by high tourist activity?

<p>Resource depletion (C)</p> Signup and view all the answers

What is recommended to enhance the cultural tourism experience in South Africa?

<p>Promoting indigenous knowledge systems (D)</p> Signup and view all the answers

What is a key policy recommendation for sustainable tourism development?

<p>Environmental management (C)</p> Signup and view all the answers

What type of tourism involves exploring natural areas while promoting conservation?

<p>Ecotourism (B)</p> Signup and view all the answers

Why is it essential to develop under-explored areas in South Africa?

<p>To divert tourist flows from over-visited sites (C)</p> Signup and view all the answers

What is a key economic impact of tourism in South Africa?

<p>Contribution to GDP (A)</p> Signup and view all the answers

What is a crucial aspect of environmental sustainability?

<p>Conservation (C)</p> Signup and view all the answers

Why is education and training recommended for the tourism workforce?

<p>To provide high-quality services to tourists (A)</p> Signup and view all the answers

What is the primary goal of environmental sustainability?

<p>To ensure the long-term health and efficiency of the environment and its ecosystems (A)</p> Signup and view all the answers

What is conservation?

<p>The management of human use of the biosphere to yield the greatest sustainable benefit (C)</p> Signup and view all the answers

What is the primary cause of climate change?

<p>Greenhouse gas emissions (C)</p> Signup and view all the answers

What is the goal of the Kyoto Protocol?

<p>To reduce greenhouse gas emissions globally (C)</p> Signup and view all the answers

What is the focus of the Sustainable Development Goals (SDGs)?

<p>To reduce poverty and protect the planet (B)</p> Signup and view all the answers

What is a major challenge facing the South African government's environmental sustainability interventions?

<p>Challenges in enforcement, funding, and achieving the desired balance between economic development and environmental protection (D)</p> Signup and view all the answers

What is the primary goal of education and awareness in environmental sustainability?

<p>To increase public understanding of environmental impacts and sustainable practices (B)</p> Signup and view all the answers

What is the aim of the Paris Agreement?

<p>To strengthen the global response to the threat of climate change (C)</p> Signup and view all the answers

What is the focus of the Johannesburg Summit?

<p>To further the goals established in the Rio de Janeiro Summit (C)</p> Signup and view all the answers

What is Agenda 21?

<p>A comprehensive plan of action to build a global partnership for sustainable development (D)</p> Signup and view all the answers

What is the primary goal of cost-benefit analysis in public policy?

<p>To evaluate the social costs and benefits of interventions aimed at correcting market failures (C)</p> Signup and view all the answers

What is the main difference between consumer inflation and headline inflation?

<p>Consumer inflation measures the change in price for a basket of goods and services consumed by households, while headline inflation measures the total unadjusted inflation (C)</p> Signup and view all the answers

What is the result of demand-pull inflation?

<p>An increase in aggregate demand (B)</p> Signup and view all the answers

In a perfect market, what is the relationship between marginal cost and marginal revenue when profits are maximized?

<p>Marginal cost equals marginal revenue (C)</p> Signup and view all the answers

What is the primary objective of firms in an imperfect market?

<p>To maximize profits (D)</p> Signup and view all the answers

What is the consequence of inflation on savings?

<p>It reduces the real value of saved money (A)</p> Signup and view all the answers

What is the aim of the South African Reserve Bank's inflation targeting?

<p>To maintain inflation within a manageable range of 3% to 6% (A)</p> Signup and view all the answers

What is a characteristic of monopolistic competition?

<p>Many firms sell differentiated products (C)</p> Signup and view all the answers

What is the impact of inflation on debtors and creditors?

<p>It benefits debtors at the expense of creditors (B)</p> Signup and view all the answers

Why do firms in imperfect markets face different revenue and cost curves?

<p>Because they have different market structures (B)</p> Signup and view all the answers

What is a characteristic of hyperinflation?

<p>An extremely high and typically accelerating inflation rate (B)</p> Signup and view all the answers

What is the purpose of government intervention in imperfect markets?

<p>To enhance economic efficiency (C)</p> Signup and view all the answers

What is the primary objective of a firm in a perfect market?

<p>To maximize profit (A)</p> Signup and view all the answers

What is the main goal of fiscal policy measures to combat inflation?

<p>To reduce or increase public spending to influence economic activity (D)</p> Signup and view all the answers

What is a characteristic of an oligopoly?

<p>Few firms dominate the market (D)</p> Signup and view all the answers

What is a characteristic of a perfectly competitive market?

<p>Numerous buyers and sellers (C)</p> Signup and view all the answers

What is the result of the interplay of cost and revenue curves in imperfect markets?

<p>Firms maximize profits where marginal revenue equals marginal cost (C)</p> Signup and view all the answers

What is the purpose of open market operations in monetary policy?

<p>To buy or sell government bonds to influence broad money supply (A)</p> Signup and view all the answers

What is a consequence of stagflation?

<p>A situation where high inflation is combined with stagnant economic growth and high unemployment (D)</p> Signup and view all the answers

Why do firms in imperfect markets engage in non-price competition?

<p>To differentiate their products (B)</p> Signup and view all the answers

What is the significance of homogeneous products in a perfect market?

<p>It ensures that no single entity can wield undue influence (B)</p> Signup and view all the answers

What is the role of individual businesses in a perfect market?

<p>They are price takers (D)</p> Signup and view all the answers

What is the long-term outcome of imperfect markets?

<p>Firms may earn economic profits or incur losses (D)</p> Signup and view all the answers

What is the significance of perfect competition in economics?

<p>It serves as a benchmark for evaluating real-world market structures (A)</p> Signup and view all the answers

What is the purpose of revenue and cost concepts in a perfect market?

<p>To aid in decision-making (C)</p> Signup and view all the answers

What is a characteristic of an industry in a perfect market?

<p>It comprises multiple businesses producing identical products (A)</p> Signup and view all the answers

What is the result of perfect information in a perfect market?

<p>It ensures no single entity can wield undue influence (C)</p> Signup and view all the answers

What is the condition of the market in a perfect market?

<p>It is unregulated by the government (D)</p> Signup and view all the answers

What is the primary reason for government intervention in imperfect markets?

<p>To increase market competition and reduce inefficiencies (B)</p> Signup and view all the answers

What is a consequence of externalities?

<p>Net social welfare loss (A)</p> Signup and view all the answers

What is an example of a public good?

<p>National defense (B)</p> Signup and view all the answers

What is a cause of market failures?

<p>Imperfect distribution of income and wealth (C)</p> Signup and view all the answers

What is a consequence of imperfect competition?

<p>Allocative inefficiency and potential consumer harm (A)</p> Signup and view all the answers

What is a type of inefficiency that arises from the underutilization of resources?

<p>Productive inefficiency (C)</p> Signup and view all the answers

What is a consequence of asymmetric information?

<p>Choices that do not maximize welfare (D)</p> Signup and view all the answers

What is a goal of government intervention in market failures?

<p>To correct market failures and promote efficient outcomes (B)</p> Signup and view all the answers

What is a characteristic of merit goods?

<p>They are underprovided by the market (D)</p> Signup and view all the answers

What is a consequence of market failures on the less wealthy?

<p>They are disproportionately affected by market failures (C)</p> Signup and view all the answers

What is a key feature of imperfect markets?

<p>Barriers to entry for new firms (B)</p> Signup and view all the answers

What is a consequence of monopolies and oligopolies?

<p>Allocative and productive inefficiencies (A)</p> Signup and view all the answers

What is the primary goal of government intervention in imperfect markets?

<p>To enhance competitive outcomes and protect consumer interests (D)</p> Signup and view all the answers

What is a characteristic of monopolistic competition?

<p>Many firms sell differentiated products (A)</p> Signup and view all the answers

What percentage of South Africa's workforce is directly employed by the tourism sector?

<p>7% (A)</p> Signup and view all the answers

What is a result of imperfect competition in markets?

<p>Lower output and higher prices (A)</p> Signup and view all the answers

What is the primary goal of environmental sustainability?

<p>To preserve natural resources for future generations (D)</p> Signup and view all the answers

What is a key difference between monopolies and oligopolies?

<p>The number of firms in the market (B)</p> Signup and view all the answers

Which type of tourism involves exploring natural areas while promoting conservation?

<p>Ecotourism (B)</p> Signup and view all the answers

What is a consequence of market power in imperfect markets?

<p>Lower output and higher prices (D)</p> Signup and view all the answers

What is a major environmental challenge posed by high tourist activity?

<p>Resource depletion (D)</p> Signup and view all the answers

Why is it essential to develop under-explored areas in South Africa?

<p>To divert tourist flows from over-visited sites (B)</p> Signup and view all the answers

What is a characteristic of oligopolies?

<p>Firms are interdependent in their pricing and output decisions (D)</p> Signup and view all the answers

What is a result of imperfect competition in terms of resource allocation?

<p>Inefficient allocation of resources (C)</p> Signup and view all the answers

What is a key policy recommendation for sustainable tourism development?

<p>All of the above (D)</p> Signup and view all the answers

What is the main difference between monopolies and perfect competition?

<p>The number of firms in the market (C)</p> Signup and view all the answers

What is the significance of indigenous knowledge systems in cultural tourism?

<p>All of the above (D)</p> Signup and view all the answers

What is a key economic impact of tourism in South Africa?

<p>It significantly contributes to the national GDP (D)</p> Signup and view all the answers

What is recommended to enhance the cultural tourism experience in South Africa?

<p>Promoting indigenous knowledge systems (D)</p> Signup and view all the answers

Why is education and training recommended for the tourism workforce?

<p>To provide high-quality services to tourists (B)</p> Signup and view all the answers

What is the primary goal of environmental sustainability?

<p>To ensure that future generations can meet their needs without compromise (B)</p> Signup and view all the answers

What is the main difference between conservation and preservation?

<p>Conservation is about managing human use of the biosphere, while preservation is about protecting ecosystems (C)</p> Signup and view all the answers

What is the primary cause of climate change?

<p>Greenhouse gas emissions (A)</p> Signup and view all the answers

What is a key measure to ensure environmental sustainability?

<p>Implementing environmental taxes (B)</p> Signup and view all the answers

What was the main goal of the Rio de Janeiro Summit?

<p>To establish a global partnership for sustainable development (C)</p> Signup and view all the answers

What is the primary goal of the Paris Agreement?

<p>To keep a global temperature rise well below 2 degrees Celsius above pre-industrial levels (A)</p> Signup and view all the answers

What is a key challenge facing the South African government's environmental sustainability interventions?

<p>Enforcement challenges and achieving the desired balance between economic development and environmental protection (D)</p> Signup and view all the answers

What is a key aspect of sustainable development?

<p>Meeting the needs of present and future generations (C)</p> Signup and view all the answers

What is the primary goal of education and awareness in promoting environmental sustainability?

<p>To promote sustainable development practices (C)</p> Signup and view all the answers

What is the main goal of the Sustainable Development Goals (SDGs)?

<p>To end poverty and protect the planet by 2030 (D)</p> Signup and view all the answers

Flashcards are hidden until you start studying

More Like This

Use Quizgecko on...
Browser
Open
Browser
Browser