Based on microeconomics and welfare economics, this module is concerned with advanced topics of environmental and resource economics. The first part of the module extends basic environmental economic concepts such as Pigouvian fees and emission permit trading to more realistic and complex settings. The second part of the module deals with the optimal extraction of resources, both renewable and non-renewable. In particular the second part strongly relies on dynamic optimization methods.
Competencies / intended learning achievements
After the completion of this module, students will be able to
Identify market failure in the context of environmental goods
Explain the mechanism of pollution control instruments such as pollution taxes and emission permit trading
Critically discuss informational and regulatory constraints of environmental regulation
Mathematically derive optimal extraction paths for non-renewable and renewable resources
Discuss the implications of different institutional rules of access to resources
Textbook: Perman, Ma, McGilvray, Common: “Natural Resource and Environmental Economics”, Third or Fourth Edition, Pearson Education
In line with the flipped classroom concept, students will have access to learning material (slides, videos) which they can access anytime. This asynchronous part is complemented by weekly meetings in class. The meetings in class provide the space to deepen the learning material and ask clarifying questions.
Requirements for attendance (informal)
Basics in microeconomics and environmental economics.
Requirements for attendance (formal)