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1. What would you be willing to pay, as fair market value, for a clean, safe glass of ice-cold water? Explain.

2. Why do many judge the state of water cleanliness and safety mainly by sight and smell only?

3. Consider the following: "Environmental credit trading is a tool that can be used to support efforts that improve the environment by making those efforts less costly than they would be otherwise. But, environmen­tal credit trading can only be effective in improving the environment if there is some firm requirement for environmental improvement (a cap or a standard) that needs to be met." What is your opinion of this statement?

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