1. State whether the following statements are True or False
(i) Externality affects the economic effi ciency
(ii) Poverty is both the cause and effect of environmental degradation.
(iii) There is no inherent contradiction between the economic growth and the environment.
(iv) Environmental pollution leads to a hedonic justice.
(v) In a sustainable development, human consumption of the natural capital is lower than the
replenishment capacity.
(vi) “Polluters must pay” was adopted at the Copenhagen Conclave.
(vii) SD incorporates an element of the intergenerational equity.
(viii) Government intervention may not be essential to establish rights to use resources,
encourage the trading of those rights, and minimize the transaction costs involved.
(ix) A market-internalizing tax is able to secure the position of Pareto optimality.
(x) Human food chains are not at all affected by environmental pollution.