NA0192, Natural Resource and Environmental Economics, 7.5 Hp
Print syllabus

Syllabus

Finalized by: Jon Petter Gustafsson, 2022-12-09
Valid from : Autumn semester 2023 (2023-08-28)

Level

First cycle (G1F)

Main field of study

Economics

Grading Scale

The grade requirements within the course grading system are set out in specific criteria. These criteria must be available by the course start at the latest.

Course language

English

Entry Requirements

Objectives

The aim of the course is to provide an understanding of basic theories and methods in environmental economics and natural resource economics. Students will learn to apply these methods to qualitative and quantitative problems in simplified cases, and also be able to analyse their potential contribution to solving real-world problems such as climate change and declining biodiversity.

After completing the course, the student should be able to

• explain how markets help to achieve an efficient allocation of resources in society, and why this allocation mechanism is imperfect when there are public goods or externalities,

• explain different methods for measuring the demand for public goods, and how these methods can be used to help us make decisions about environmental programs,

• assess the strengths and weaknesses of different environmental policy instruments in different situations,

• analyse quantitatively how alternative market-based instruments can be used to achieve - under ideal circumstances - cost-effective or socially optimal solutions, and how instruments can be adapted to deal with real-world complexity,

• discuss how to take account of risk and uncertainty in environmental policy,

• analyse global pollution problems and the difficulties of concluding binding and effective international agreements,

• explain and apply basic results regarding management of non-renewable natural resources, including the Hotelling rule,

• explain the key theoretical principles regarding optimal management of biological natural resources,

• analyse the role of environmental policy in helping to achieve sustainable development.

Content

*Subject content: *

The course consists of the following parts: basic welfare theory and externalities; environmental valuation and cost–benefit analysis; strengths and weaknesses of alternative environmental policy instruments; quantitative analysis of market-based instruments including use of the Lagrange method; risk and uncertainty; global pollutants and international agreements; non-renewable resources and Hotelling; biological resources, maximum sustainable yield, the tragedy of the commons, and optimal management; environmental policy and sustainable development.

*Course implementation: *

The course uses different teaching methods to promote students' learning and discussions through: 
Lectures, exercises, seminars and written assignments.

The course focuses on the following general competences: 
Problem solving, scientific methods, written communication.

The following components are compulsory: 
Compulsory seminars

Examination Formats and Requirements for Passing the Course

Passed written examination.<br> Approved project work.

Responsible Department/Equivalent

Department of Economics

Supplementary information

Module set

Title	Credits	Code
Single module	7.5	0001

The Course Replaces

NA0165