Essay Examination 2
These questions are from the test bank. An "A" answer requires at least three or four intelligent sentences. Some questions may require more sentences if they have multiple parts.
Lecture 4 - Welfare Measures
1. (a) Please derive graphically a Marshallian demand function from a set of indifference curves and budget lines.
2. (a) Please derive graphically a Hicksian demand function (Compensating Variation) from a set of indifference curves and budget lines.
3. (a) Why do demand functions have a negative slope?
Lecture 6 - Macroeconomics and Tourism
4. (a) You are given the equations below. Please solve for the equilibrium GDP.
5. (a) What are leakages, and why are they important for tourism economics?
6. (a) What is the Keynesian multiplier?
7. Please draw the two straight lines and label the equilibrium GDP and AE. The equations are:
8. (a) Why is tourists’ spending called the invisible exports?
Lectures 7 - Tourism and Economic Development
9. The following questions are about the tourist industry in Bali, Indonesia.
10. (a) Identify the three benefits of using foreign investment in a developing country’s tourist industry.
11. (a) What is the informal sector of the tourist industry in a developing country?
12. What are three characteristics of a developing country?
13. (a) What is dependency theory?
14. (a) What is modernization?
Lectures 8 - Sustainable Tourism
15. Please answer the following questions
16. Please define the following terms: