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Resource Economics Question Paper

Resource Economics

Course:Bachelor Of Environmental Studies

Institution: Kenyatta University question papers

Exam Year:2009

KENYATTA UNIVERSITY
UNIVERSITY EXAMINATIONS 2009/2010
FIRST SEMESTER EXAMINATION FOR THE DEGREE OF BACHELOR OF
ENVIRONMENTAL SCIENCE (RESOURCE CONSERVATION)
ERC 300: RESOURCE ECONOMICS

DATE: WEDNESDAY, 23RD DECEMBER 2009 TIME: 2.00 P.M. - 4.00 P.M.

INSTRUCTIONS: Answer Question ONE and ANY other three questions.

QUESTION ONE

i.
Briefly discuss the classification of natural resources that are found in Kenya.

Provide relevant examples where
applicable.
(7
marks)

ii.
Once a substance has been defined as a resource, the question inevitably arises

as to how much is available for use by man. Explain the measures of both the
renewable
and
non-renewable
resources.
(18
marks)

QUESTION TWO

The Mara River runs through the Masai Mara Game Reserve on the Kenyan side and the
Serengeti National Park on the Tanzanian side, both of global conservation significance and of
great economic importance. It pours its water into Lake Victoria, the source of the River Nile.
Local communities and other stakeholders in the Mara River Basin are increasingly facing water
shortages. Explain how the cooperative game theory concept can be applied to solve the water
scarce trans-boundary Mara River Basin in
East
Africa.
(15
marks)

Page 1 of 2

QUESTION THREE

i)
What are the marine natural resources that are at risk of depletion in East Africa?

(5 marks)
ii)
Discuss the problems that affect the management of marine natural resources.

(10 marks)
QUESTION FOUR
i)
Define the following terms as used in management of renewable resources:
a)
Maximum
sustainable
yield
(2
marks)
b)
Maximum
economic
yield
(2
marks)

ii)
Assume that the government of Kenya has a plan to remove the import duty of fishing

gears. Using the Gordon-Schaefer fishery production function, show how the duty free

importation of the fishing gears may affect Lake Victoria Fishery. Assume the price of
fish
will
remain
constant.
(11
marks)

QUESTION FIVE

i)
Describe the operational rules that define the condition of ecological sustainability.

(6 marks)
ii)
Explain the key factors that influence development sustainability in Kenya.

(9 marks)

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Page 2 of 2

Resource Economics Question Paper

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